Credit Information Databases in Enhancing of the Financial System Stability
Credit Information Databases in Enhancing of the Financial System Stability

Summary/Abstract: The course of real economic processes to a large extent depends on the proper functioning of the financial system. It has to provide the flow of funds from entities that have them to those who need them, providing security to both parties. In order to facilitate these flows while minimizing the risk, in the countries around the world there are developed both public and private credit registers. They enable the exchange of information between credit institutions, what brings many benefits, such as fraud reduction, creditquality improvement, increase in the borrowers’ discipline, but also increased credit availability and lowering credit costs. The aim of this study is to characterize various types of credit databases and to present the role of credit information sharing in shaping the stability of the financial system.

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