Aug 3 Amor-Bautista Credit Information Corporation

Republic Act No.
9510
Credit Information System Act
UNSTRUCTURED DATA
STRUCTURED DATA
Republic Act No. 9510
(Credit Information Systems Act)
The Securities and Exchange Commission
(SEC) is the lead government agency to
implement the CISA.
Government Owned and Controlled
Corporation (GOCC)
60%
Government
40%
PCC, CTB, BAP,
RBAP, CCAP
01
LOWER
INTEREST RATES
TH
EO
BJE
CT
IVE
S
LESS / NO
COLLATERAL 02
CAR LOAN
CREDIT CARD
HOME LOAN
COOPERATIVE LOAN
CREDIT REPORT
CREDIT REGISTRY CREDIT BUREAU
Section 3(q). Submitting Entity refers to an entity that provides credit
facilities such as, but not limited to
ü Government Lending ü Financing Companies

Institutions (GFI’s, GOCC’s) ü Investment Houses
ü Commercial & Universal Banks ü Insurance Companies
ü Rural Banks ü Cooperatives
ü Thrift Banks ü Trust Entities
ü Credit Card Companies
CIC currently has 593 submitting entities in production

30M borrowers, 80M contract data
Unique Individual
DEFINITION OF TERMS
Section 3(c) Borrower refers to a natural or
juridical person, including any local
government unit (LGU), its subsidiaries and
affiliates, that applies for and/or avails of a
credit facility.
Section 3 (f) Credit Facility refers to any loan,
credit line, guarantee or any other form of
financial accommodation from a submitting
entity: Provided, that for purposes of this Act,
deposits in banks shall not be considered a
credit facility extended by the depositor in
favor of the bank.
Section 3(b) Basic Credit Data refers to positive and
negative information provided by a borrower to a
submitting entity in connection with the application for
and availment of a credit facility and any information on
the borrower’s creditworthiness in the possession of the
submitting entity and other factual and objective
information related or relevant thereto in the submitting
entity’s data files or that of other sources of information:
Provided, that in the absence of a written waiver duly

accomplished by the borrower, basic credit data shall
exclude confidential information on bank deposits and/or
clients funds under Republic Act No. 1405 (Law on
Secrecy of Bank Deposits), Republic Act No. 6426 (The
Foreign Currency Deposit Act), Republic Act No. 8791
(The General Banking Law of 2000), Republic Act No.
9160 (Anti-Money Laundering Law) and their amendatory
laws.
Section 3(a) Accessing Entity refers to any
submitting entity or any other entity
authorized by the Credit Information
Corporation to access basic credit data from
the Credit Information Corporation.
• CIC currently has 116 accessing entities

Section 3(j) Negative Credit Information
refers to information/data concerning the poor
credit performance of borrowers such as, but
not limited to, defaults on loans, adverse court
judgments relating to debts and reports on
bankruptcy, insolvency, petitions or orders on
suspension of payments and corporate
rehabilitation.
Section 3(m) Positive Credit Information refers
to information/data concerning the credit
performance of a borrower such as, but not
limited to, information on timely repayments or
non-delinquency.
Section 3(n) Relevant Government Agencies
refers to the Department of Finance, Department
of Trade and Industry, Bangko Sentral ng Pilipinas,
Insurance Commission and the Cooperative
Development Authority
Section 3(p) Special Accessing Entity refers to a
duly accredited private corporation engaged
primarily in the business of providing credit
reports, ratings and other similar credit
information products and services.
• Credit Scores
• Portfolio Review
SEC Memorandum Circular No. 7 Series of 2015
“Standards and Rules for Accreditation of Special

Accessing Entities to the Credit Information System”
Sec. 3-1. Organizational and Technical Capability

Criteria
Sec. 3-2. Form of Special Accessing Entity

TWO FOLD ROLE OF CIC
RECEIVE DISSEMINATE
RIGHTS OF THE BORROWER
• A Borrower shall have the right to have ready and
immediate access to credit information pertinent to him
subject to the payment of a prescribed fee;
• He shall have the right to dispute erroneous,

incomplete, or misleading credit information;
• He shall be notified by a submitting entity of the latter’s
obligation to submit and disclose basic credit data to the
Corporation; and
• He shall have the right to know the causes of refusal of
an application for credit facilities or services from a
financial institution that uses credit as a basis or ground
for such refusal
OBLIGATIONS OF SUBMITTING ENTITIES
• Notify Borrowers regarding submission of Basic Credit
Data to CIC via Notification Clause
• Submit the Basic Credit Data of all its Borrowers in its

database (Regular and Outside Regular Submission)
4.2 The Submitting Entity may adopt the
following letter template to notify their
existing Borrowers of its obligations under
the Act:
Dear Valued Client:
This is to notify you that pursuant to Republic Act (R.A.) No. 9510 and its
Implementing Rules and Regulations (IRR), creating the Credit Information
Corporation (CIC) we are mandated to submit your basic credit data (as
defined in R.A. No. 9510 and its IRR), as well as any regular updates or
corrections thereof, to the CIC for consolidation and disclosure as may be
authorized by the CIC.
Consequently, your basic credit data may thus be shared with other lenders
authorized by the CIC, and other credit reporting agencies duly accredited
by the CIC, for the purpose of establishing your credit worthiness
For more information, please contact (name of Submitting Entity) or visit

our website (website of Submitting Entity).
Thank you,
(Name of Submitting Entity)

4.3 The Submitting Entity may adopt the
following notification clause template to be
inserted in its loan / credit applications for
Data Subjects to sign:
"I hereby acknowledge and authorize:
1) the regular submission and disclosure of my basic credit

data (as defined under Republic Act No. 9510 and its
Implementing Rules and Regulations) to the Credit
Information Corporation (CIC) as well as any updates or
corrections thereof; and
2) the sharing of my basic credit data with other lenders

authorized by the CIC credit reporting agencies duly
accredited by the CIC. "
ACCESS TO CONSOLIDATED CREDIT DATA
ü Submitting Entities
ü Special Accessing Entities
ü Data Subjects (Borrowers)

OBLIGATIONS OF ACCESSING ENTITIES
q Take all necessary precautions to ensure that it
does not breach any confidentiality
q Disclosure only authorized personnel
q Designate Internal Compliance Officer

Functions of the CIC
Receive and
Consolidate
Basic Credit
Data
Act as a
Central
Registry
To Provide Access to
Reliable,
Standardized
Information on credit
history and financial
condition of
Borrowers
VALUE OF AGGREGATED DATA
1
0 0 2
T
EN
M
IN D
TA O RS
RE GO WE
D OF RRO
RAU BO
F
NTI-
A
4.5 A of R.A. 9510
Any negative information on a borrower

shall stay in the CIC's data for not more
than 3 years from and after the date the
RETENTION negative information shall have been
rectified through the following:
PERIOD FOR i. Payment or liquidation of debt; or
NEGATIVE ii. Settlement of debt through
compromise agreement or court
INFORMATION decision exculpating the borrower
ON DATABASE from any form of liability
Negative information shall be corrected

and updated within 15 days from receipt of
notice of payment, liquidation or
settlement of debt in accordance with the
prescribed rules of the CIC.
PHILIPPINE DATA PRIVACY
ACT OF 2012 (RA – 10173)
Section 4:
e. DOES NOT APPLY TO
REPUBLIC ACT NO. 9510
(CREDIT INFORMATION
SYSTEMS ACT)
Public Credit Registry Updates
Credit Information Corporation
Objectives: 1118
1. Lower interest rates

2. Less / No collateral
3. Improved access to credit
Milestones:
1. Availability of CIC Credit Report to the general public through the CIC Online Appointment
Scheduler
2. Establishment of the Online Dispute Resolution Process
3. Onboarding of 593 Submitting Entities in Production
4. Launch
402 of paid access to the CIC credit database by qualified submitting entities
5. Deployment of Primary ID (PID) Number Tagging
6. Expansion of the CIC database
222 94
7. Roll-out of CIC Online Technical
150
Compliance Workshop
8. Forging partnerships for
88 financial literacy
43 58
The CIC Credit Report
1118
• Contains consolidated positive

and negative credit data and
other relevant information as
submitted by financial
institutions.
• Reflects basic personal

information, IDs, detailed
financial contracts, and credit
402
card(s) records, among others.
• Is different
222 from a credit
94 score.
150
88
43 58
Online Trainings
1118
402
222 94
150
88
43 58
1118
402
222 94
150
88
43 58
[email protected]
1118
402
222 94
150
88
43 58
Online Dispute Resolution Process
1118
• Enable data subjects who obtained their credit reports to file a

complaint or a dispute on any erroneous, incomplete, or
outdated information on their credit report online.
• Disputes may be simple, complex, or highly technical.

402
222 94
150
88
43 58
Online Dispute Resolution Process
1118
402
222 94
150
88
43 58
Becoming an Accessing Entity
CIC Circular No. 2020-01 Series of 2020
Do you know?
There are five factors that go into
calculating your credit score.
Payment history validates the importance
of paying your bills on time.
Credit Utilization For a good lender-friendly ratio, keep it at

30 percent or less.
New credit and credit mix each

Length of credit history account
15% 30% 35% 30% 10%

WEBSITE
www.creditinfo.gov.ph
FACEBOOK
/creditinfogovph

Aug 3 Amor-Bautista Credit Information Corporation

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Aug 3 Amor-Bautista Credit Information Corporation

Uploaded by

Copyright:

Available Formats

Republic Act No.

ü Government Lending ü Financing Companies

CIC currently has 593 submitting entities in production

Provided, that in the absence of a written waiver duly

• CIC currently has 116 accessing entities

“Standards and Rules for Accreditation of Special

Sec. 3-1. Organizational and Technical Capability

Sec. 3-2. Form of Special Accessing Entity

• He shall have the right to dispute erroneous,

• Submit the Basic Credit Data of all its Borrowers in its

For more information, please contact (name of Submitting Entity) or visit

(Name of Submitting Entity)

1) the regular submission and disclosure of my basic credit

2) the sharing of my basic credit data with other lenders

ü Special Accessing Entities

ü Data Subjects (Borrowers)

q Disclosure only authorized personnel

q Designate Internal Compliance Officer

Any negative information on a borrower

ON DATABASE from any form of liability

Negative information shall be corrected

1. Lower interest rates

• Contains consolidated positive

• Reflects basic personal

• Enable data subjects who obtained their credit reports to file a

• Disputes may be simple, complex, or highly technical.

Credit Utilization For a good lender-friendly ratio, keep it at

New credit and credit mix each

15% 30% 35% 30% 10%

You might also like