credit bureau errors

Bureau EorrrsCredit

Bureau EorrrsCredit

Bureau EorrrsCredit

Errors

Bureau EorrrsCredit

Errors

Big People Problems

Group 23

MIS Case Presentation

Institute of Business AdministrationUniversity of Dhaka

CASES U MM A RY

HO W C R E D I T B U R E A U S W O R K

Sources Credi t bureau Credi t report

Data Information

3 U S N A T I O N A L C R E D I T R E P O R T I N G

A G E N C I E S

3 U S N A T I O N A L C R E D I T R E P O R T I N G

A G E N C I E S

3.5billion

Every month

pieces of information

1 in 5 Americans

has a mistake

in their credit report

Source: www.creditcards.com

3 M O S T C O M M O N C R E D I T B U R E A U E R R O R S

Ident i ty

errors

Incorrec t account

deta i l s

Fraudulent

accounts

C R E D I T B U R E A U D I S P U T E P R O C E S S I N G S Y S T E M

e-OSCAR

Electronic Online Solution for Complete and Accurate Reporting

third-party contractor

72%Success rate

CASEQ u e s t i o n s

Question 1. Assess the business impact of credit bureaus’ data quality problems for the credit bureaus, for lenders, for individuals.

For c red i t bureaus For lenders For ind iv iduals

hass le of correc t ing

Credibility Wrong business decisions Lose money as well as

clients

Ruin life

Question 2. Are any ethical issues raised by credit bureaus’ data quality problems? Explain your answer.

Respons ib i l i ty

Accountabi l i ty

L iab i l i ty

Golden Rule

YES

Question 3. Analyze the management, organization, and technology factors responsible for credit bureaus’ data quality problems.

Management

Fac tors

Organizat ional

Fac tors

Technologica l

Fac tors

Lax credit application procedures

Incomplete or inaccurate creditor information

Lack of consistency in customer personal information

Dismissal of second dispute claim

Lengthy and cumbersome dispute filing procedure

Third party contractors and 2-line coding system

Question 4. What can be done to solve these problems?

C h e c k c r e d i t r e p o r t s r e g u l a r l y

D a t a s c r u b b i n gD a t a Q u a l i t y A u d i t

C u s t o m e r v i g i l a n c e w h i l e

f i l l i n g o u t i n f o r m a t i o n

A c c u r a c y a n d c r o s s c h e c k i n g o f

l e n d e r s

R e a s s e s s o r r e f o r m c r e d i t

b u r e a u s y s t e m

THANK YOU!