Clause 14

This section applies where an application for a loan is made to a licensee by an applicant with one or more sureties.(2) Subject to subsection (3), a licensee must, before granting any loan to the applicant, comply with —

the requirements of section 66(1) and (4)(a) in respect of each surety of the applicant, as if a reference to an applicant in those provisions were a reference to the surety; and

the requirement of section 66(3) to submit the information mentioned in section 66(1) (called in this paragraph the required information) to the designated credit bureau as if a reference to the required information in relation to the applicant were a reference to the required information in relation to the surety.(3) The Minister may, under section 66(1)(d) as it applies to a surety of the applicant under subsection (2), prescribe different types of information to be obtained by a licensee from the surety.(4) A licensee may, before deciding whether to grant a loan to an applicant, submit a request to the designated credit bureau for a credit report in relation to any surety of the applicant.(5) A request for a credit report under subsection (4) —

must be submitted in the prescribed manner; and

must be accompanied by —

a declaration that —

the licensee is submitting the request to assess the creditworthiness of the surety; and

the licensee has a valid licence issued under section 5 at the time of the request; and

any other document or information that the Minister may prescribe for the purposes of this subsection.(6) A licensee must, if the licensee intends to grant the loan to the applicant, inform the designated credit bureau, in the prescribed manner and before granting the loan, of any change in the surety’s information submitted under section 66(3) read with subsection (2)(b).(7) To avoid doubt, a licensee is not required to seek the consent of a surety of an applicant before submitting a request to the designated credit bureau for a credit report in relation to the surety under subsection (4).(8) Any licensee who, without reasonable excuse, contravenes subsection (2) or (6) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000 or to imprisonment for a term not exceeding 6 months or to both.(9) Any licensee who submits under subsection (5)(b)(i) a declaration that is false shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $30,000 or to imprisonment for a term not exceeding 12 months or to both.”.