CIC to get SSS, GSIS data
GOVERNMENT-RUN Credit Information Corp. (CIC) is looking to get the loan data of Social Security System (SSS) and Government Service Insurance System (GSIS) by March, according to its top official, with the reports to be used in building the firm’s centralized information system.
“The ones that we’re looking forward to getting is the SSS and GSIS,” CIC President and Chief Executive Officer Jaime P. Garchitorena told BusinessWorld in an interview, referring to credit data of both government-owned and - controlled corporations (GOCCs).
Republic Act No. 9510 or the Credit Information System Act provides for the establishment of a comprehensive and centralized credit information system. The CIC under RA 9510 is mandated to consolidate basic credit data.
Under the law, submitting entities, mainly lenders, are required to submit all credit data of their borrowers in their database to the CIC. Pursuant to CIC’s Circular No. 2016-03 Series of 2016, GOCCs engaged in lending activities are required to submit up to five years worth of their credit data by March 31.
Small Business Corp. ( SBC) was the first GOCC to submit five years’ worth of historical loan data to CIC last month, ahead of the March 31 deadline.
Aside from SBC, there are 16 more GOCCs that have yet to provide their borrowers’ data for the country’s centralized credit information system. Mr. Garchitorena said that some of these state-run firms are already in “some level of early stages of compliance.” He said CIC has already sent a circular to all GOCCs regarding their compliance with credit data submission deadline.
Asked why CIC wants the loan data of both SSS and GSIS, Mr. Garchitorena said: “Essentially, they provide a rich set of data that the system may not be capturing and since there’s now a push for MSMES ( micro, small and medium enterprises) from the national government, we are also mandated to provide credit data to assist MSMEs in gaining access to credit.”
“If you consider that all MSME activity starts from the individual that identifies a product or service that they want to fill, whether as a replacement for their job or as a supplement to their working income, then it’s important that the largest number of people be captured within that database,” he added.
Mr. Garchitorena said that SSS and GSIS will be able to provide the large number of loan data that CIC needs.
“And then by putting their data in the CIC database as mandated by law, it gives them the opportunity to leverage off that good credit history and borrow more money, specifically if they want to start a small business,” he said.