Code contradictions

Photo / The Aucklander

Changes proposed to the kind of information financiers can have about you are at odds with a bill before Parliament.

The Courts and Criminal Matters Bill would allow the Justice Ministry to release details of unpaid fines to credit-reporting agencies.

But the Privacy Commissioner has told Parliament there are serious privacy implications.

So-called non-credit debt is not included in changes to the Credit Reporting Privacy Code, being considered by the commissioner. This means if the bill becomes law it will contradict the new code.

"It is not obvious why privacy legislation should protect those who fail to pay non-credit account debt, as opposed to those who fail to pay credit accounts," reporting bureau Veda Advantage said in its submission on the code.

However rival credit bureau Dun & Bradstreet said the issue needed debating.

"Who's to say you doing 12km over a speed limit and getting a $70 fine is going to be predictive of credit risk in the future?" New Zealand general manager John Scott asked.