Dinny McGinley (Donegal South West, Fine Gael) | Oireachtas source

I believe we have had a very constructive debate on the importance of the Credit Reporting Bill, which will create the legislative framework for a central repository of credit information to be known as the central credit register. The register will go some way towards resolving what were identified as weaknesses in the Irish financial services industry by providing a tool which supports responsible borrowing and lending. It will assist the Central Bank in the supervisory role and also augment levels of consumer protection in respect of lending. I thank the Fianna Fáil and Sinn Féin parties, which have both provided their support for the Bill. I note that both Deputies Michael McGrath and Pearse Doherty will be bringing forward amendments on Committee Stage and we welcome their helpful contributions in the discussion of the Bill. We will be happy to discuss their proposed amendments on Committee Stage.

I will take this opportunity to respond to a number of the issues, proposals and queries raised during the debate before Easter. The question of when the register will come into operation was raised by a number of Deputies. I am unable to guarantee when this will happen as it depends on a number of factors, including when the legislation comes into force and also the length of time it will take for the database to be created. However, I can assure Deputies that we are working hard to have the register up and running without delay. The question of control of the data to be held on the register was also referenced by a number of Deputies. This is expressly why we have provided for strong controls in section 17 of the Bill, which outlines the purposes for which information on the register can be used, which would preclude the use of the information on the register by credit providers for marketing purposes, as was feared by some Deputies. Data protection concerns have been and continue to be of utmost importance during the development of this legislation and the Data Protection Commissioner has contributed to the Bill, ensuring that the rights of consumer are protected at all times.

In regard to the thresholds set by the Bill in sections 15 and 16, we are considering the contributions made by the Deputies. It is very important that we correctly strike a balance between trying to prevent a lender from avoiding having to check or report to the register and I would not like to make it overly bureaucratic by setting the threshold too low. This issue can be further discussed on Committee Stage.

Deputies McGrath and Doherty suggested that a widespread programme of consumer education could be conducted. This is something which I agree would benefit the consumer, particularly as the Deputies have highlighted the lack of awareness of the availability of consumer credit information. I agree it is very important that citizens are made aware of the register and what implications it will have. It is equally important for consumers to know that they have the ability to access a free copy of their credit report each year. Consumer awareness and education is imperative for the legislation to have the positive effect it is intended to have and this is a suggestion we will be following up on.

There are others issues which were raised before Easter which I have not responded to today. These issues will be teased out on Committee Stage. I reiterate the point that this Bill represents an opportunity to develop a responsible reporting structure that will benefit both borrower and lender and ensure lenders are in a position to make informed lending decisions. The register will help support our continued policy to combat the over-indebtedness in this country. I thank everybody who made a contribution to the debate and I urge Deputies to support the Credit Reporting Bill 2012. I commend the Bill to the House.

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