Law Regulating the Exchange of Credit Information (credit information companies)

Law No. 9 of 2019 regulates the exchange of credit information through credit information companies, which gather, store and report customers' credit information. A credit information company may operate only after registration with the Central Bank of Kuwait. A customer's authorization is mandatory before an inquiry into the customer's information is made. Gathering or exchanging information on a natural person's private life, opinions, beliefs or health condition is prohibited.

Credit information, credit records and credit reports are confidential and may not be accessed or revealed without the consent of the customer or the customer's heirs, legal representative or authorized agent, or a request of the competent judicial authorities. A credit information company must protect and secure the information against loss, damage and unlicensed or unsecure access, use or alteration.

A credit information company must reply in writing to a customer's complaint, with the grounds for its decision, within 15 days. The Central Bank of Kuwait may impose a financial penalty of up to KD 250,000 on a credit information company that violates the Law. Obtaining credit data or accessing a customer's credit record without a license is punishable by imprisonment of up to one year, a fine of up to KD 5,000, or either.

The Law takes effect from the date of publication of its executive bylaws. The Official Gazette published the executive bylaws, issued by Ministerial Resolution No. 36 of 2019, on 25 August 2019.