How does the credit information center correctly provide data for business credit information service agencies

As the credit information service sub-market is a relatively open market, the entry threshold should not be very high, there will be more participants, because the non-profit institutions such as the credit information center of the People’s Bank of China to provide data support may not be a suitable choice. The institutions that will undertake this mission in the future are more likely to be large, market-based business credit reporting agencies that have access to the underlying credit data. The “marketization” of credit investigation is the process of transformation from non-marketization to marketization, and it is the process of establishing the market. Issuing licenses to private enterprises is only one of the work in the construction of credit information market.
In practice, all the major products and services in the enterprise credit reporting market revolve around credit underlying data. Products and services developed based on other data are only complementary to these primary products or services. The data used by the enterprise credit information service also comes from the basic credit database managed by the credit reporting agency.
In the past, credit information agencies in developed countries mainly made money by selling subscription-based credit monitoring products to consumers. In recent years, some fintech companies have created ways to provide free credit reports and credit score queries (paid for by the credit information services themselves) and earn a commission from lenders by recommending loan products that fit consumers’ circumstances. In some markets, the latter business model has a tendency to replace the traditional service model. Similar products and services exist in the Chinese market, but the business models are mostly immature and compliance is unclear.
Since the credit information Center of the Central Bank of China is currently unable to provide report data to credit information service agencies, the establishment of a credit information service sub-market in China needs to open up data channels at the same time, and declare the compliance of the credit information center’s opening of credit report inquiry services to licensed credit information service agencies. Report inquiry is provided on demand basis, and information service agencies need to ensure that requirements such as credit subject authorization, personal data protection, and information security are met. At the same time, the information service organization shall ensure that the data obtained shall be destroyed in accordance with the law after the completion of the service and shall not be retained by itself.
As the credit information service sub-market is a relatively open market, the entry threshold should not be very high, there will be more participants, because the non-profit institutions such as the credit information center of the People’s Bank of China to provide data support may not be a suitable choice. The institutions that will undertake this mission in the future are more likely to be large, market-based credit reporting agencies with access to underlying credit data. The “marketization” of credit investigation is the process of transformation from non-marketization to marketization, and it is the process of establishing the market. Issuing licenses to private enterprises is only one of the work in the construction of credit information market.