Systems of Credit Information Exchange in Ukraine: State and Prospects of Development

Systems of credit information exchange have strong influence upon development of the credit market, in particular, complete information about a borrower is provided, which allows more accurate assessment of the borrower's capability to payback the credit, reduction of costs on search for information about the borrower and reduction of payment for the credit, increase of payment discipline of the borrower, reduction of the threat of over-crediting the borrower, demonopolisation of information in the credit market, which makes competition more perfect. There are both state and private systems of exchange of credit information in Ukraine, which started to operate recently and have not acquired significant development yet due to the fact that credit institutions do not realise yet advantages of such systems and absence of desire of major creditors to share this information. It is expedient for the state to initiate popularisation of participation of credit institutions in the bureau of credit history and also introduction of legislative initiatives with respect to mandatory nature of transfer of information of credit establishments into the credit bureaus.