The country’s central credit registry is determined to “make ends meet” after receiving a lower-than-expected budget for 2021, the bulk of which is earmarked for security and maintenance of its database.

Aileen L. Amor-Bautista, Credit Information Corp. (CIC) Senior Vice President for Business Development and Communications, told the BusinessMirror that out of the P90-million subsidy the CIC requested for fiscal year (FY) 2021, only a total of P76 million was approved.

Amor-Bautista said it was “disheartening” because the credit registry requested for a “very conservative” amount. She noted that the lower budget might affect its operational viability.

“Still, the CIC shall continuously look for ways to make ends meet by intensifying our campaign for access—which is our only source of revenue—albeit on a limited budget,” she told the BusinessMirror.

In September, the credit registry requested a P90-million government subsidy for next year as it gears up to enhance its database management. Of this amount, P35 million is allocated to improve the security and maintenance of its growing credit database. The CIC explained that system improvements will continuously be in place as the credit registry includes more submitting entities, load additional credit data and further broaden financial inclusivity.

The firm said it was also investing in third-party solutions provider to ensure cybersecurity all the time. In addition, the CIC said it is earmarking funding for regular annual penetration-testing of the Credit Information System (CIS) to discover potential gaps in security.

In a study by the Policy and Economic Research Council and Makati Business Club, the government was urged to significantly increase the budget allocation for the central credit registry.

The research by the US-based think tank and business group explained that “while the CIC could earn fees, it should not be considered its primary source of revenue.”

In October, the CIC introduced a mobile application that allows remote access of credit reports from individual borrowers. The public may view the said data through an app launched by CIBI Information Inc., one of its accredited credit bureaus and accessing entities. Individuals may register and create an account in the CIBIApp through desktops or mobile phones.

An individual’s credit report contains consolidated positive and negative credit data, along with other relevant information submitted by the financial institutions. It also includes basic personal information, government issued IDs, address, contact details, financial contracts and credit card records, among others. - Tyrone Jasper C. Piad

Source: BusinessMirror