SPECIAL access entity ADVANCE.CBP said it has set up a platform that will allow overseas Filipino workers to use their credit score in the Philippines to tap financial services in South Korea.
As a special access entity accredited by the government’s Credit Information Corp. (CIC) in the Philippines, ADVANCE.CBP provides credit reports, ratings and other similar credit information products and services.
The company said in a statement sent to Malaya Business Insight it will be maintaining an application programming interface (API)-based credit information linkage system between the Philippines and Korea. This will allow OFWs to “open bank accounts in Korea more easily, apply for loans or credit cards under better terms, and build financial credibility abroad using their data from the Philippines.”
A separate statement issued Tuesday announced that the company has signed a Memorandum of Understanding (MOU) with South Korean private credit bureau, Korea Credit Bureau (KCB), for the initiative.
Licensed by the Financial Services Commission (FSC), KCB collects, stores and provides information about the credit history of individuals or companies.
“Under the agreement, over 70,000 OFWs residing in Korea will be able to use their credit information from the Philippines — sourced from CIC data — to assist in opening bank accounts and accessing financial services in Korea,” ADVANCE.CBP said.
“In the same spirit, Koreans who wish to use financial services in the Philippines will be able to leverage their Korean credit histories, fostering a seamless financial environment where citizens of both countries can conduct transactions more smoothly and securely,” it added.
Michelle Anne Chan, country manager for ADVANCE.CBP, said by making credit histories portable, the initiative will “help solve long-standing challenge for migrant workers: the lack of local credit data in host countries, which often results in exclusion from formal financial systems.”
“This collaboration supports financial empowerment, dignity and inclusion for OFWs, enabling them to make the most of their economic contributions abroad,” she said.
As an accredited special accessing entity, ADVANCE.CBP will be responsible for integrating Philippine-sourced credit data into a format that meets Korean financial institutions’ requirements under the platform, Chan said.
It will also be responsible for maintaining secure, real-time data transmission protocols, ensuring compliance with data privacy and regulatory standard in both the Philippine and Korea, and provide technical and operational support to ensure seamless credit verification across borders, she added.
