What Is CCRIS
CCRIS (central credit reference information system) is a centralized system under Bank Negara which compiles data on your outstanding loan amount and payment history for the past 12 months, at any given time. Any records older than 12 months are "purged".
If you are late in payment (lets
say 6 months outstanding in Feb 2015) but you have paid off the outstanding in
March 2015, the records will still show February = 6 months, March = 0 months,
April = 0 months. As CCRIS is a report for 12 month period, the 6 months in
arrears records will only 'disappear' in February 2016 (12 months later). You
just cannot erase or request to clear it before that, as it is a rolling
report.
If it shows, for example, 2 2 2 2 –
-, meaning your loan has been due for 2 payments for 4 months.
Everyone has their personal credit
report in the form of a CCRIS report which can be retrieved by financial bodies
and by the individual himself, but not by other people. In other words, your
eligibility for loan has nothing to do with how well you know your banker
(although that *might help?).
The Credit Bureau is a legally
empowered credit reporting agency under CREDIT REPORTING AGENCIES. ACT 2010 to
collect personal credit information about you from these financial
institutions.
However, the Credit Bureau simply
collects and reports your credit information as it is. In other words, the
Credit Bureau does not "judge" your creditworthiness. Also in all
fairness, information on rejected credit applications is not reflected in
credit reports so that one bank will not be biased by the prior decision of
another bank. Your CCRIS information could in fact be treated differently and
subjectively by each financial institution.
Currently, there is an arbitrary limit for the public to print
their own report – it can only be done once every three months.
How Is CCRIS Report Being Updated?
After discussing on how to do your own CCRIS check, we now want to know how CCRIS report is being updated.
In fact, CCRIS information is updated on the 15th of every month. So if you have paid down your
credit lines anytime from 1-31 Jan, time your loan application submissions on
the 16th of Feb.
In practical, issue crops up
impacting consumer when the banks are delayed in updating their customers’
credit facility records to the CCRIS in a timely manner, despite the fact that
the banks are supposed to do so on the 15th of each month.
Banks do have problems with their
core banking systems (breakdowns, delay, heavy traffic, unable to close the
end-of-month due to adjustments in accounts, etc) so there may be reporting
delays.
Also, some banks default their
system to classify a loan as due at different dates. Some banks classify the
installment due after 5 days, 7 days or on the due date itself, depending on
bank policy. This will all effect the bank’s reporting to their risk department.
If a bank classify it as overdue 1 day after the due date, 80%-90% of customers
will be on the due report for the Bank’s collection team. Usually, a grace
period is given so that the report that the collection team gets is shorter and
easier to manage.
In short, whatever that comes out
in the CCRIS report will depend on how fast your bank report the account to
CCRIS, as BNM only compiles whatever that have been reported to them.