Competition regulator agency CADE has approved, with some restrictions, a plan presented by the five main commercial banks, which seek to create a private credit research bureau with the capability of compiling and presenting credit information pertaining to citizens and bank customers.
CADE remarked that its tentative approval of the Gestora de Inteligencia de Crédito (GIC) will depend on the banks’ commitment to avoid concentrating too much authority on the organism. The agency is wary of the risk that the banks will benefit from access to their customer’s information, or that this may become a barrier to entry for new competing banks.
Banco do Brasil and Caixa Económica Federal came together last January alongside three private institutions, including Itaú, Banco Bradesco and Banco Santander Brasil in order to form the GIC. Each bank will control 20% of the company.
CADE’s ruling also frees the way for so-called ‘Positive Offices’ in Brazil – a system designed to replace the current system of punitive credit penalties with a set of credit incentives for people who keep up with debt payments.
Full Content: Reuters
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Subscribers Defend $4.7 Billion Antitrust Verdict Against NFL in Court Filings
Jul 19, 2024 by
CPI
Von der Leyen Calls for Competition Policy to Boost EU Companies’ Growth
Jul 19, 2024 by
CPI
Vermont AG Sues Pharmacy Benefit Managers Over Drug Prices
Jul 18, 2024 by
CPI
Australians Face Increased Stamp Prices Following ACCC Approval
Jul 18, 2024 by
CPI
Live Nation Seeks Dismissal of DOJ Antitrust Allegations
Jul 18, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Private Equity Roll-Up Schemes
Jun 28, 2024 by
CPI
The FTC’s Focus on Private Equity is Warranted
Jun 28, 2024 by
CPI
Unraveling the Roll-Up: Private Equity’s Misunderstood Investment Strategy
Jun 28, 2024 by
CPI
Antitrust Focus on Private Equity Funds and Serial Acquisitions
Jun 28, 2024 by
CPI
Private Equity Roll-Ups Amidst Heightened Antitrust Enforcement
Jun 28, 2024 by
CPI