Regulation 12 Criteria for the designation of a credit reference agency

(1)

The Treasury may designate a credit reference agency only if the agency—

(a)

carries on activities which consist primarily of the furnishing of persons with information relevant to the financial standing of persons or businesses and the collection of information for that purpose;

(b)

has procedures in place designed to give effect to the requirements of the Data Protection Act 1998^f1 and sections 158 to 160 of the Consumer Credit Act 1974^f2;

(c)

permits all small and medium sized businesses about which it holds information to access that information and to challenge inaccuracies;

(d)

has systems in place which protect information against loss, corruption, destruction, misuse and unauthorised access; and

(e)

has systems in place which are capable of processing information in bulk.

(2)

In considering whether to designate a credit reference agency or to revoke the designation of a credit reference agency, the Treasury may also have regard to—

(a)

the agency’s existing role in the furnishing of information relevant to the financial standing of persons or businesses in the United Kingdom;

(b)

the Treasury’s view as to whether it is appropriate for the agency to have access to financial information about small and medium sized businesses in light of—

(i)

the skills and experience of the persons who control and manage the activities carried on by the agency;

(ii)

whether those persons can be expected to act with probity;

(iii)

the robustness of systems and procedures referred to in paragraph (1)(b), (d) and (e); and

(iv)

the agency’s compliance, and likely future compliance, with the requirements referred to in paragraph (1)(b); and

(c)

such other matters as they consider appropriate.

Annotations

Footnotes

f1: 1998 c. 29.
f2: 1974 c. 39.