CIC Credit

Oct 13, 2022

CIC to hold 2-day credit expo THE Credit Information Corp. (CIC), the country’s sole public credit registry and repository of credit information, announced it is set to conduct its second virtual credit expo, titled, “Creating Tomorrow: Credit in the Digital World,” on October 27 and October 28. The credit expo will be two half-day morning sessions, the CIC said in a statement. The first day’s program will be for financial institutions covered under the Republic Act 9510, or the Credit Information System Act (CISA). The second day will be for the general public. “In this year’s expo, we underscore how financial institutions and borrowers benefit from a mainstreamed credit reporting system through CIC as the country’s public credit registry,” CIC President and CEO Ben Joshua A. Baltazar was quoted in the statement as saying. Baltazar added that through the utilization of CIC credit reports in “credit-decisioning,” especially now that the country is continuously moving towards digital finance, financial institutions will be able to calibrate the price of credit appropriately to the risk and maximize potential profits. At the same time, this contributes to lowering the incidence of over-indebtedness which in turn fosters a culture of responsible borrowing for both individuals and MSMEs, the official added. To date, there are 739 submitting entities (SEs) in production or financial institutions submitting actual credit data of their borrowers to the CIC. This information comprises the CIC database which now covers 35 million data subjects or approximately 50 percent of the Philippines’ adult population. Baltazar said that the SEs are highly encouraged to go beyond mere compliance and apply as an Accessing Entity (AE) so that they can start tapping into the CIC’s pool of consolidated credit data. “Priced at only P30 for retail and P20 for wholesale, the CIC Credit Report remains to be the most cost-effective tool for lenders to assess the creditworthiness of their borrowers,” he added. This year, the CIC’s 155 AEs have already surpassed the past two year’s credit-report utilization after having made 1.5 million credit report inquiries to the database just for the first three quarters this year. Baltazar added that the CIC has been actively promoting its Direct-to-Consumer (D2C) through the AE program to encourage individuals to be aware of their credit histories by providing a ready and convenient way to access their CIC Credit Report. This results in a fairer loan assessment system, lowers the cost of credit for borrowers, and ultimately improves access to credit. Creating tomorrow The CIC said the expo will feature speakers from the CIC as well as various financial sector industry associations. Topics will be on the significance of data submissions and compliance to the Cisa, the rights and responsibilities of borrowers, as well as developments on the value-added products and services provided by CIC’s accredited credit bureaus or Special Accessing Entities. Further, financial institutions will also discuss how CIC credit reports are used in their credit-decisioning process and overall business operations. “Through our upcoming expo and other financial education events, we hope for greater participation of credit industry players in complying with the CISA law and in utilizing CIC Credit Reports, as well as increased awareness among Filipino borrowers of their credit histories so that they can build their credit worthiness,” Baltazar said.