(NAR) VOL. 26 NO. 2/ APRIL - JUNE 2015
2.1 | To enforce the Act, as well as its promulgated rules and regulations, which directs and requires banks, quasi-banks, their subsidiaries and affiliates, credit card companies, life insurance companies and other entities providing credit facilities, to submit the credit information of its borrowers and thereafter update the same on a regular basis to the CIC; |
2.2 | To ensure that the Submitting Entities comply with the requirements of the Act and its implementing rules and regulations, and other regulatory requirements; and |
2.3 | To prescribe the rules and procedures for submitting credit information and updates to the CIC and other obligations of Submitting Entities thereunder. |
3.1 | Universal, commercial and thrift banks, including their trust departments, rural banks and entities with quasi-banking license issued by the BSP, including their subsidiaries and/or affiliates that are engaged in the business of providing credit; |
3.2 | Life insurance companies, mutual benefit associations and other similar entities supervised by the Insurance Commission; |
3.3 | Credit card companies; |
3.4 | Financing companies; |
3.5 | Trust entities; |
3.6 | Investment houses with quasi-banking license; |
3.7 | Non-governmental organizations engaged in the micro financing business; |
3.8 | Government lending institutions, both GFIs and GOCCs engaged primarily in lending; |
3.9 | Cooperatives engaged in lending activities such as credit cooperatives or financial services cooperatives; and |
3.10 | Other entities providing credit facilities. |
4.1 | The Submitting Entity shall inform its Borrowers in writing of its obligation to submit their Basic Credit Data and other credit information to the CIC. |
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 (RA) No. 9510 and its implementing Rules and Regulations (lRR), creating the Credit Information Corporation (ClC) we are mandated to submit your basic credit data (as defined in RA. No. 9510 and its lRR), as well as any regular updates or corrections thereof, to the ClC for consolidation and disclosure as may be authorized by the ClC. Consequently, your basic credit data may thus be shared with other lenders authorized by the ClC, and other credit reporting agencies duly accredited by the ClC, for the purpose of establishing your creditworthiness. | |
For more information, please contact (name of the Submitting Entity) or visit our website (website of the Submitting Entity). | |
Thank you. | |
[Name of the 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: |
“ l 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 (ClC) as well as any updates or corrections thereof; and 2) the sharing of my basic credit data with other lenders authorized by the CIC, and credit reporting agencies duly accredited by the ClC.” | |
4.4 | The Submitting Entity shall maintain copies of the letter notification and, when so required by the CIC, submit the same to the latter. |
4.5 | If a Borrower executes a Deposit and/or Fund Waiver, the Submitting Entity shall maintain a copy of the same and, when so required, submit the same to the CIC. |
4.6 | The Submitting Entity shall regularly submit the Basic Credit Data of all its Borrowers contained in its database, file or system, to the CIC not later than on the 5th day of the month and in the form/format and manner prescribed by the CIC. |
4.7 | The Submitting Entity shall ensure that the Basic Credit Data of its Borrowers with the CIC is accurate, complete, correct, and currentup to the relevant Update Cycle Date. |
4.8 | The Submitting Entity shall ensure that when receiving Error Reports from the CIC, the Submitting Entity shall rectify the errors in the relevant files and send the corrected files to the CIC within a period of three (3) working days. |
4.9 | The Submitting Entity shall develop an internal dispute resolution process by which a Data Subject can dispute information recorded in his own Consolidated Credit Data, and by which said dispute may be investigated and resolved within a period of five (5) working days. |
4.10 | The Submitting Entity shall extend full, complete and timely cooperation to the CIC with respect to disputes brought before it by Data Subjects who allege that the credit information pertaining to them is erroneous, incomplete, or misleading. |
4.11 | The Submitting Entity shall educate its Borrowers on the importance of maintaining a good credit record. |
4.12 | Submitting Entity in good standing may access the System to inquire on a Data Subject provided that the terms and conditions as hereinafter promulgated by the CIC are complied with. |
4.13 | Submitting Entity shall comply with these provisions in order to maintain good standing and violation of any of these provisions shall subject them to penalties and fines under CISA, IRR and rules as may be promulgated by the CIC or the Securities and Exchange Commission, as may be applicable. |