A LEGAL shake-up aimed at removing the “obstacles” that have left Islanders struggling to access credit card services has been backed by a backbench panel.
Proposed amendments to the Register of Names and Addresses (Jersey) Law have been lodged by Chief Minister Lyndon Farnham.
Responding to the proposition, the Corporate Services Scrutiny Panel said: “The panel acknowledges the challenges faced by Islanders wishing to obtain credit card services in Jersey, like those provided to UK residents, and the amendment law aims to address the obstacles preventing the delivery of such services.
The change centres round an expansion of how Islanders’ names and addresses can be used.
The Scrutiny panel said the current law is too restrictive and has been “preventing the reasonable application of purposes” under data protection legislation, with knock-on effects for credit checks and automated lending decisions.
In the UK, credit reference agencies rely heavily on the electoral register as a trusted source of names and addresses – but Jersey has no equivalent feed into those systems.
“This may result in incorrect, lower automated credit scores generated by online banking and mobile credit applications for Islanders, which require manual, human verification to correct and update,” the panel said.
The amendment seeks to change that by allowing government-held names and addresses to be supplied to credit reference agencies for clearly defined purposes. These include supporting credit checks by banks and lenders and, critically, enabling law enforcement access where required.
The changes are intended to “help create the conditions necessary for additional credit services to be provided to Islanders, including the provision of credit card services”.
Names and addresses would only be provided to credit reference agencies for credit-checking purposes.
Two of the three major agencies consulted have already indicated they are content that the amendment would remove key obstacles to offering credit cards in Jersey, according to the report.
Under the plans, data relating to under-18s would be automatically excluded, and adults would be given a one-month notice period to opt out of having their details shared.
An opt-out would remain available even after that initial window, and the Office of the Information Commissioner has indicated the proposals are satisfactory from a data protection standpoint.
The law change is described as a “necessary and proportionate” step to bring Jersey into line with the UK and provide credit card services to Islanders.
