Australia's comprehensive credit reporting (CCR) framework is delivering measurable gains for lenders and borrowers alike, according to a new submission from credit industry body Arca to the Australian Competition and Consumer Commission (ACCC).
The submission, made as part of the ACCC's consultation on the continued authorisation of the industry's Principles of Reciprocity and Data Exchange (PRDE), draws on real-world data and lender experience to make the case for the framework's ongoing value.
Participation has grown from 49 organisations in 2020 to 137 today, with more than 22 million consumer credit accounts now reported under the system. Consumer engagement has grown alongside it, with 64% of Australians surveyed having obtained a copy of their credit report, up from 47% in 2020.
Arca CEO Elsa Markula (pictured) said the submission reflects how the framework is playing out in practice.
"The experiences shared by participating lenders show how comprehensive credit reporting is supporting more informed lending decisions, stronger competition and improved outcomes for consumers," Markula said.
Great Southern Bank said CCR has strengthened its credit assessment capability and supported its push into the first-home buyer segment.
Bank of Queensland pointed to a more direct commercial payoff, reporting that adopting CCR scorecards lifted approval rates by up to 14%. Brad Davis, the bank's general manager – market risk, credit models & insights, said the richer data set supports more confident lending decisions.
"It gives us greater confidence to lend to customers who can afford credit, while recognising those who have recovered from financial hardship and supporting better outcomes for both customers and lenders," Davis said.
Non-bank lender MoneyMe said the same data helps smaller players compete with the majors. MoneyMe's chief credit risk officer, Benjamin Korczak, said the framework "helps level the playing field against the banks because it gives lenders far richer data on how customers actually manage credit."
For mortgage brokers, the findings point to a lending environment where borrowing history increasingly works in favour of responsible borrowers, potentially translating into better rates, terms, and approval outcomes across a widening pool of lenders.
Separately, the broader open banking landscape is also shifting: non-bank lenders will soon be required to share product data — including interest rates, fees, charges and eligibility criteria — through the Consumer Data Right from November, giving brokers another comparison tool to draw on alongside CCR data.
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