Credit Reporting Requirements & Irish Funds

This advisory looks briefly at the potential implications, for investment funds authorised and regulated in Ireland, of the establishment of an Irish Credit Register. For further information please contact the Investment Funds team at Walkers.

Through the enactment of the Credit Reporting Act, Ireland is joining the ranks of other nations with public credit registers such as France, Spain, Portugal, Belgium and China, meaning Irish borrowers will have a credit report/rating from the Credit Register. The key intention of the legislation is to establish levels of indebtedness of Irish resident borrowers. The Irish Credit Register is a national register for now, however there have been discussions ongoing at EU-level for some time in relation to the creation of a pan-European central credit register.

Under the new requirements, loans, deferred payments or other forms of financial accommodation owned or originated by Irish lenders: (i) to Irish borrowers; or (ii) under Irish law governed agreements, will generally be required to be reported upon by the lender. Lenders will be required to report on in-scope loans on an ongoing monthly basis from 30 September 2018.

 

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