Looking at the Role of Private Credit Bureaus in Strengthening Credit Access and Infrastructure

Source: Kontan, 09-09-2024
Reporter: Selvi Mayasari | Editor: Dina Hutauruk

KONTAN.CO.ID – JAKARTA. The presence of private credit bureaus is considered to have a positive impact on the financial industry in the country. Lenders find it easier to distribute quality credit with the presence of a credit bureaus.

LPPI Senior Vice President, Trioksa Siahaan sees that the presence of a private credit bureaus will provide an option for the financial industry to assess the creditworthiness of each company they consider for financing.

“The presence of private credit bureaus can provide a complete picture. When Banks distribute credit to corporations, they can get a picture of the credit performance of the large corporate companies owners, and so on. So, they will know the ratings,” Amin explained to KONTAN, Friday (6/9).

In addition, he stated that the presence of private credit bureaus will make information in the financial services sector more balanced, open, and transparent. The database information also opens up more opportunities, so that there are many alternatives.

One of the private credit bureau providers is PT CRIF Lembaga Informasi Keuangan (CLIK). The services provided by CLIK enable financial institutions to make efficient and accurate decisions involving customers and prospective customers transparently, closing the information gap.

CLIK President Director Leonardo Lapalorcia explained that CLIK’s operations prioritize productivity, operational efficiency, and client-oriented excellence.

“Our product is to collect data and manage data control, also ensuring that the data can only be accessed if there is approval,” said CLIK President Director Leonardo Lapalorcia when met in Jakarta, Thursday (5/9).

Leonardo explained that CLIK’s main service is to collect a database that can be covered from all over Indonesia, so that CLIK can finally issue various types of reports.

Second, CLIK provides scoring services, like a short report that contains a person’s credit information. Scoring is a methodology for ranking debtors. “Usually the scoring that we do will be added with additional data, like telecommunications data,” he said.

Third, processing. CLIK can pull data and process it to determine the next action.

Leonardo said, CLIK obtains financial information reported by financial institutions to OJK through the Financial Information Service System (SLIK). This information, along with other non-financial information obtained from financial and non-financial institutions that do not report, is then combined to create products ranging from credit scores to portfolio alerts.

The products created by CLIK enable institutions to make efficient and accurate decisions that involve customers and potential customers in a transparent manner, closing the information gap.

CLIK has launched several products since 2023 with a focus on supporting the performance of the financial institution credit sector, including Consumer Inquiry-API, a product with a fast response that serves the needs of lenders, including LPIP and other customers.

Next, there is CLIK Dashboard, an information management tool that provides seamless and real-time access, with the most comprehensive and up-to-date Indonesian Credit Market data.

“This interactive web-based solution empowers industry leaders, executives, researchers, and government officials with the tools they need to navigate and understand the dynamics in the industry,” said Leonardo.

In addition, there is CLIK Spectrum which uses telecommunications scores. With this product, Banks can increase loan approval rates by up to 10% without affecting NPL rates, enabling them to identify customers with medium risk to low risk segments.