Question & AnswerQ&A (Republic Act No. 9510)
Republic Act No. 9510 is officially titled the "Credit Information System Act."
The primary policy objective is to establish a comprehensive and centralized credit information system to provide fair and accurate credit information, improve credit availability, reduce collateral dependence, and protect consumer rights.
Borrowers are natural or juridical persons, including local government units (LGUs), their subsidiaries, and affiliates who apply for or avail of credit facilities.
Basic Credit Data refers to positive and negative credit information provided by borrowers to submitting entities in connection with credit facilities, excluding confidential bank deposit information protected by law unless waived by the borrower.
Banks, quasi-banks, subsidiaries and affiliates, life insurance companies, credit card companies, government lending institutions, and other entities providing credit facilities are required to submit credit data.
Negative credit information shall not be retained in the Corporation's database for more than three (3) years after rectification through payment, settlement, or court decisions.
Borrowers have the right to access their credit information for a reasonable fee and to dispute any erroneous, incomplete, or misleading information, which the Corporation must investigate and correct or delete within five working days.
It is a corporation established to collect, consolidate, and provide access to basic credit data, acting as the central registry for credit information in the Philippines.
All entities accessing credit information must hold it in strict confidentiality, using it only for creditworthiness assessment, with penalties and possible revocation of access for violations.
Willful violation may result in fines from Php50,000 to Php1,000,000, imprisonment of one to five years, or both, at the court's discretion.
The Securities and Exchange Commission (SEC) is the principal government agency leading the implementation and enforcement of the Act.
The Committee, composed of seven members from both the Senate and House of Representatives (including minority members), oversees the implementing rules and regulations, ceasing after approval unless revived for major revisions.
No, deposits in banks are not considered credit facilities extended by the depositor in favor of the bank under this Act.
Special Accessing Entities are accredited private corporations that provide credit reports and ratings, authorized to access consolidated credit data but restricted from releasing data without borrower consent except for LGUs under specific conditions.
The Corporation has a capital stock of Php500 million with 60% owned by the National Government and 40% by qualified private investors, primarily industry associations, with limits on individual ownership shares.