Tighter regulations in store for Singapore’s credit bureaus: MAS

Lenders will be licensed under a proposed framework.

Credit bureaus are collecting more credit information from banks. In this light, the Monetary Authority of Singapore yesterday published a consultation paper on proposals to strengthen oversight of credit bureaus.

According to the MAS, the new Credit Bureau Bill will safeguard sensitive borrower credit information and protect consumers’ interests.

Under the proposed framework, credit bureaus will be licensed by MAS and subject to ongoing regulatory requirements.

“A key focus of these requirements will be for credit bureaus and their members to ensure data confidentiality, security and integrity. In addition, to better enable consumers to access and verify the accuracy and completeness of their credit records, members of licensed credit bureaus, such as banks, finance companies and credit card companies, will be required to provide to a consumer a copy of his credit report at no cost within a specified period of approving or rejecting a credit application by the consumer,” noted the MAS.

The consultation paper is available on the MAS website and comments should reach MAS by 12 September 2014. Interested parties may email their comments to creditbureau@mas.gov.sg.