Positive credit reporting information can now be collected ready for the commencement of the Privacy amendments on 14 March 2014

Repayment History Information

Are you collecting Repayment History Information?

Repayment History Information (RHI) is personal information about whether an individual has met their obligations to make a monthly payment in relation to a consumer credit contract, including the day on which the obligation is due and the day on which the consumer makes the payment (if not on the day the payment was due).  RHI does not include the amount of the repayment. 

The Draft Credit Reporting Code allows for a grace period, which means that a credit provider must wait at least five days before reporting a missed payment.  The regulations, when drafted, will also make provision for whether or not the individual has met an obligation.

RHI can only be disclosed by a credit provider to a credit reporting body if the credit provider holds an Australian Credit Licence (ACL) and the credit provider has previously disclosed consumer credit liability information (CCLI) to a credit reporting body.

CCLI means the following information about the individual in relation to consumer credit:

  1. the name of the provider;
  2. whether the provider holds an ACL;
  3. the type of consumer credit;
  4. the day on which the consumer credit is entered into;
  5. the terms or conditions of the consumer credit:
    1. that relate to the repayment of the amount of credit; and
    2. that are prescribed by the regulations;
  6. the maximum amount of credit available under the consumer credit;
  7. the day on which the consumer credit is terminated or otherwise ceases tobe in force.

By allowing for reporting of RHI and CCLI, the new credit reporting system aims to give credit providers access to positive credit reporting information that will assist them in establishing an individual’s creditworthiness.

What you need to do?

RHI can be collected from December 2012 for disclosure to credit reporting bodies from March 2014.

You must notify your customers before you start collecting personal information (including RHI) that you are likely to disclose to a credit reporting body.

Credit providers will need to amend their Privacy Policy and Privacy Consent now to collect this information ready for disclosure.