Here is how to read CCRIS?

What is CCRIS?

CCRIS (Central Credit Reference Information System) is a record kept by Bank Negara Malaysia that acquires and tracks your loan repayment behavior.

The CCRIS report includes:

1. Intensive details of all the loans you have with every financial institution in Malaysia (this covers all the banks and non-bank financial institutions like AEON Credit or PTPTN)

2. Loan repayment history over the past 12 months including any overdue

3. ‘Special Attention’ loan or loan under close monitoring by the banks

4. Any loan that has been rescheduled or restructured

How To Read CCRIS Report?

Dina Hazlina has 2 outstanding credit facilities as shown in the outstanding credit – one credit card and one hire purchase (vehicle). The hire purchase loan was applied during January 2000 with the loan amount of RM35,000. From the report, it shows that she has an outstanding balance of RM8,500. Then in July 2008, she received a credit card facility with the credit limit of RM5,000 and as of now, her total outstanding balance is RM3,000.

For her hire purchase loan, Dina probably had difficulties in paying her car loan promptly. Due to the inconsistent payments for a few months, she has received a summon on 31 January 2011 (as shown in the column “N” – Legal Status). So, she has decided to restructure her payments again to extend the length of her loan tenure (as shown in “B” – Status).

Referring to the table, we can observe that Dina has been paying her car loan consistently from December 2016 to August 2017. How do we know that? It is because “0” means no missed payments/ arrears. Then from September 2017 onwards, Dina did not pay 3 months of instalments as shown in the November column.

Here’s a reference tip:

0 – No missed payments / arrears

1 – Late payment for 1 month

2 – Late payment for 2 months

3 – Late payment for 3 months

Credit card report analysis of Dina:

So when we look at her credit card record, she was paying her monthly instalments consistently except for some months. She did not pay for 3 months from March 2017 – May 2017. Dina was also 2 months late during September and October 2017.

The credit card that Dina applied on October 2006 is listed under the “Special Attention Account” (SAA). So you may ask why is her credit card categorised under SAA? Dina probably missed her monthly payments for more than 3 months on her credit card which led her to be listed under SAA.

So, you may notice that Dina has applied for a credit card facility on November 2015 and it is currently pending. In your opinion, do you think Dina’s credit card would be approved?

Below is the explanatory description for each credit information label:

(1) Outstanding Credit – This section displays the facilities that the borrower has taken.

(2) Special Attention Account (SAA) – Those that fall under this category shows outstanding credit facility under close supervision by the financial institution.

(3) Application for Credit – This section displays the approved or pending credit applications that are made over the last 12 months.

A – Approval Date / R&R – The application date when the credit facility has been approved

B – Status – This indicates the credit status for applications. For example: Outstanding (All outstanding credits obtained by the borrower), Rescheduled Credit Facility (The original payment schedule of the credit facility has been rescheduled), Facility restructured under AKPK

C – Capacity – Description of the credit facility obtained by the borrower is under his own name, joint name with another individual, name under sole proprietorship and partnership or professional body

D – Lender – Financial institution that disbursed the credit facility

E – Branch – The credit facility that was applied at

F – Facility – The type of credit facility i.e. personal loan, credit card, housing loan, etc.

G – Account/ Application Number – The reference number assigned by the financial institution for the credit facility

H – Total Outstanding Balance – The reference outstanding amount of the credit facility

I – Date Balanced Updated – The total outstanding amount of the facility

J – Limit/ Instalment Amount – The total amount approved by the financial institution or contractual obligation amount to be repaid by borrower until the total amount is settled

K – Collateral – The type of collateral or security for the credit facility

L – Principal Repayment Term – The frequency of each credit facility’s payment

M – Instalment in Arrears for Last 12 months – Refers to payment records of the credit facility. Example: 0 (no late payment), 1 (1 month in arrears), 2 (2 months in arrears) and so on

N – Legal Status – The legal action taken against the borrower because of defaulted payments

O – Date Status Updated – The latest date of the legal action status

How a Bank sees CCRIS report:

So, when you apply for a bank loan (whether it is a mortgage or personal loan), the bank will obtain and go through your CCRIS record to assess your past repayment behavior.

Although each bank practices different credit criteria, they will likely consider it as a bad CCRIS record if you have not been paying your loan for 2-3 months within the past 6 months or if you have a loan under ‘Special Attention’, it may affect the approval of your loan application.

For Co-operative or koperasi loan (pinjaman koperasi), given the repayments is via direct salary deduction, the chances of your application being approved is higher although you may be 2-3 months overdue on your outstanding payments.

Central Credit Reference Information System (CCRIS) is a report or statement of all your credit/loans with the bank. All your credit records with the bank will be issued in a brief report.

The bank will use this CCRIS report to evaluate or assess your loan eligibility.

Via this CCRIS report, you may also view your payment records with the bank. If you often pay by the due date, which is before the deadline, your records will be '0' each month.

The number ‘0’ indicates that you have never made late payments to the bank. However, if you make a payment after the due date, your monthly report will indicate ‘1’ to denote that you paid late for one month, ‘2’ if you paid late for two months and so on.

Basic information about CCRIS we all should know:

The Central Credit Reference Information (CCRIS) provides credit reports and is managed by the Credit Bureau of Bank Negara Malaysia. CCRIS collects credit-related information on all borrowers of participating financial institutions in Malaysia. These include individuals, businesses (sole proprietors and partnerships), companies, professional bodies, associations, societies and Government entities. Participating financial institutions encompass all licensed commercial banks, Islamic banks, investment banks, development financial institutions and several other financial institutions such as insurance companies, payment instrument issuers, rehabilitation companies, building societies, credit leasing companies and government agencies.

Financial institutions' updates on regular basis:

Participating financial institutions are required to report in on a regular basis, the following information:

Profile of the borrower, such as name, identity card/business registration number, date of birth/registration, address, etc;

Credit application details, such as amount applied, date of application, type of facility; and

Credit account details, such as type of credit facilities, credit limit, outstanding balance, installment amount, conduct of account and legal action status, if any.

All of the information and data is then compiled into a credit report which financial institutions like banks will have access to. The data that will be on the credit report will be broken down into a span of 12 months.

The major stats mentioned in CCRIS:

The CCRIS credit report will contain the following information of the borrower:

Outstanding Credit: All credit facilities obtained by the borrower, which are still outstanding, under the borrower’s own name/a joint name with another borrower(s)/a name of a sole proprietorship or partnership where the borrower is the owner of the partnership or the business/the name of a professional body where the borrower is the member of the body or the name of a corporation.

Special Attention Account(s): All outstanding credit facilities under close supervision of the participating financial institutions.

Application(s) for Credit: All applications approved in the previous 12 months and pending applications for the borrower.

It should also be noted that CCRIS does not only contain the negative credit information of an individual, but it will also show positive information like your credit approvals and positive repayment history. One misconception that most people may have is also that CCRIS will blacklist you if you have bad repayment pattern. However, CCRIS does not provide any opinion or blacklist any individuals, CCRIS provides factual data which will then be used by financial institutions. And credit facilities that have been fully settled are excluded from the credit report.