Michael D'Arcy (Wexford, Fine Gael) | Oireachtas source

I thank Senators for progressing the Bill in the manner in which they are doing so. I will stay with today's Bill. Senator Conway-Walsh asked several questions about other legislation. As I do not have the relevant information available to me, I do not propose to comment on the matters raised. The Bill makes it an offence to intentionally mislead the Central Bank. It is, therefore, very important legislation. While the MiFID legislation has been transposed, what has not been transposed is the criminal sanction, which is a fine of up to €10 million and-or jail time. Without this, the other legislation is much less powerful. While MiFID is concluded, finished and operational, it is also important that we progress this Bill through the Houses.

Approximately 500 lenders and creditors are included on the credit register. In the future they will provide data regarding the outstanding credit agreements. These are banks, credit unions, firms that have acquired loan books from Irish institutions in recent years, licensed moneylenders, local authorities and the National Asset Management Agency, NAMA. If the proposed amendment is enacted, higher purchase companies, those that provide personal contract plans, PCPs, and financial leasing companies will also be required to provide data to the central credit register, CCR.

Who can access the data? Credit information subjects are in a position to access their data on the CCR and to obtain their own credit reports. This is similar to the way it used to be with the credit bureau. One can request one's own information to be made available. The Act provides that the first report each year would be provided free of charge. The Central Bank has indicated that, subject to a fair usage limitation, individuals may access their credit report at any time free of charge. Lenders will be required to, or may in certain circumstances, access the credit register when an individual or other credit information subject applies for a new loan, has an existing loan restructured or has arrears on an existing loan. Apart from a lender in the above circumstances, no other party, such as an employer, landlord or any other person or entity, can access the individual's credit data.

Who owns the information? The Central Bank owns the information on its central credit register and is responsible for the protection and processing of the data held on the CCR. What type of loans credit does the CCR hold information on? It collects loans information on most types of loan and credit agreements of €500 or more. This includes mortgages, personal loans, credit card overdrafts, business loans, moneylender loans and the like, so that involves most of what we are providing for.

I want to touch on the issue Senator Kieran O'Donnell raised about whole-of-life policies. I think it was when we were finishing up the legislation on the Financial Services and Pensions Ombudsman that the issue of whole-of-life policies was raised. There was an issue as to whether they were covered. They are covered. We are strengthening the definition now. Even previously, though, I have been pretty strong in my views on this.

Were products mis-sold? It is for the Financial Services and Pensions Ombudsman now to investigate this in the context of whole-of-life policies. One issue of which I was unaware is that there is no such thing as a whole-of-life policy. It is reviewed every five years. On the basis of that review, the premia increase. I must admit that I found it disturbing that some elderly people were finding it was so expensive to keep the pot alive that effectively the financial institution was consuming the whole pot. This is particularly unfair - that is a personal view - but it is for the Financial Services and Pensions Ombudsman to consider these matters. The ombudsman has considered three cases to date and did not choose to go ahead with any investigation. Again, it is neither for me nor this House to instruct the Financial Services and Pensions Ombudsman as it is his or her decision to investigate or not. The legislation, however, is absolutely clear that the ombudsman has the authority to do so.