NBCH National Bureau of Credit Histories

The National Bureau of Credit Histories (NBCH) is an enterprise in the credit history market in the Russian Federation, established in March 2005. Established on March 30, 2005 at the initiative of the Association of Russian Banks and operates on the basis of the Federal Law "On Credit Histories."

Shareholders in the bureau include a number of commercial banks and international companies CRIF and TransUnion. The main area of ​ ​ activity is the creation of a single center for storing and processing all information necessary for making credit decisions. As of July 1, 2013, the bureau consolidates information on 120 million loans issued by 1,600 creditors cooperating with the NBCH. The bureau provides dozens of modern high-tech solutions in the field of risk control and assessment, predictive analytics.

2024: Using AI in the creation of PD- sko­ringa

The National Bureau of Credit Histories (NBCH) applied artificial intelligence in PD scoring creation - estimates of probability of non-payment of the credit (default). Oleg Skvortsov, chairman of the board of the Association of Russian Banks (ARB), spoke about this project at the end of February 2024.

According to him, AI- the decision receives the sequences of events of credit stories of the citizen: applications, issuances of credits and payments. neuronet Then it predicts the likelihood of a 90-day delay after the loan is issued.

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According to the NBCH, the introduction of this technology helps banks reduce the cost of initial processing of applications, increase the accuracy of forecast estimates, and reduce the default of retail loans by 1.6 times. It is noted that the technology does not increase the time for consideration of new loan applications - the scoring assessment is set in less than a second and is provided to the lender.

According to the general director of the NBCH Alexander Vikulin, the composition of credit history is rapidly expanding due to the introduction of new data there. Despite the stable result of traditional scoring model building algorithms, they lag behind the capabilities of machine learning and artificial intelligence. Therefore, as Vikulin noted, the NBCH is introducing such developments.

The new system is able to seriously improve the quality of all retail loans - both collateral and unsecured. Lenders will be able to better predict the behavior of their customers, reduce the default of the portfolio. And it will already allow to make the credits more favorable to borrowers, - the head of the National Bureau of Credit Histories said.

Renaissance Credit Bank reported that NBCH scoring shows efficiency in the segments of POS loans, credit cards and cash loans, which made it possible to improve scoring models by 2-8%.^[1]

2019: Credit bureau data widely featured on black market

All credit bureaus have been unable to protect sensitive customer data. On the black market in September 2019, "breaking" is widely represented in all major bureaus: the National Bureau of Credit Histories (NBCH), the United Credit Bureau (OKB) and Equifax. The price of services on the black market is cheap - the cost of one request for the bureau is 300-400 rubles, Devicelock reports.

2018: Banks will have access to VKontakte user profiles

Mail.Ru Group allowed the National Bureau of Credit Histories (NBCH) to study the profiles of borrowers on the VKontakte social network. Then this data will be transferred to banks or other creditors, RBC reports. As VKontakte^[2].

The National Bureau of Credit Histories, together with Mail.Ru Group (which owns VKontakte), have developed an algorithm for checking the profiles of borrowers. Many banks or microfinance organizations will be able to access accounts: NBCH cooperates with about 4,000 companies.

2017

VKontakte sues NBCH

The social network VKontakte filed a lawsuit with the Moscow Arbitration Court against Double Data and the National Bureau of Credit Histories (NBCH) demanding that they stop using open user data to sell their services.

The text of the lawsuit was at the disposal of the editorial office of the Kommersant newspaper. The social network requires symbolic compensation from companies for violation of exclusive rights - one ruble each. ^[3] of ^[4].

According to the lawsuit, NBCH offers credit institutions services based on technologies developed by Double Data, which allow assessing the creditworthiness of borrowers based on data from VKontakte. The company, according to the plaintiff, extracts the personal data of account holders from the social network database, while neither the network itself nor its users gave permission to use this information.

According to Double Data CEO Maxim Ginzhuk, VKontakte makes claims only as a way to compete. In 2016, Mail.ru Group began investing in Big Data and credit risk assessment products for Russian banks. The NBCH, in turn, declined to comment.

The Internet Initiatives Development Fund said that this case could create a legal precedent that can bury many promising Big Data solutions in the country.

Meanwhile, in other countries, similar precedents have already arisen. For example, Facebook in November 2016 banned the British insurance company Admiral Insurance from using an algorithm for analyzing the personal qualities of car owners based on their behavior, calling it "too intrusive."

August 2017, NBCH agreed with VKontakte and promised not to use the information without the permission of the company.

Credit Fraud Dynamics Study

On March 6, 2017, NBCH reported an increase in credit fraud rates in Russia by 69.5% in 2016. For more information, see Credit fraud.

See also

• Credit report
• Joint Credit Bureau (OKB)
• Equifax Credit Services - Credit History Bureau (Equifax)

• Debt for telecommunications services (Debts of Russians for communication services)
• Debt for housing and communal services
• Lending in Russia (overdue debts, debt)
• Recourse and Subregulation Indebtedness in Russia

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