Account information – Comprehensive Credit Reporting (CCR)
With Comprehensive Credit Reporting (CCR) information about your credit accounts can be included on your credit file.
In the industry, this is referred to as ‘Consumer credit liability information’ and can include:
- The type of credit account opened
- The date the credit account was opened and/or closed
- The name of the credit provider and whether they are a licensee
- The current limit on the credit account
The addition of credit account information means that a more complete picture of an individual’s credit profile can be held on their credit file. This can be both an advantage and a disadvantage to the individual depending on their credit behaviour.
Credit providers may place less emphasis on the credit enquiries (applications for credit) you have on your credit file as they are able to see the type and credit limits that you currently hold.
On the other hand, credit providers will be able to see which products you hold from other providers. Being able to see your existing commitments may lead them to consider your application differently, especially if they believe you don’t have the capacity to take on any more credit.
These changes first came into effect in March 2014, when the Privacy Act 1988 was amended to introduce Comprehensive Credit Reporting (CCR) but it was a voluntary opt-in system and few lenders did. In late 2017 the Australian government announced it was mandating CCR. The requirement is that licensed credit providers have at least 50% of their positive consumer credit data “ready for reporting” by the 1st of July 2018. They will then be required to have all of it ready a year later.
This means that the additional information may not appear on your credit file if your credit provider is not yet sharing this information with credit reporting bodies.
You can contact your credit provider if you are unsure whether they have adopted Comprehensive Credit Reporting or if you want more information about their credit reporting practices.