‘More choice and greater access to credit cards’ on the way

Following years of campaigning by the Jersey Consumer Council, Jersey residents will soon have ‘more choice and greater access to’ credit cards. From 30 July, the Government will be securely sharing Islanders’ personal data with UK credit reference agencies, unless people decide to opt out.

The Government of Jersey has confirmed that residents' names, addresses and dates of birth will be securely shared with the UK's major credit reference agencies, Experian and Equifax. The Government say that this will help reduce the administrative barriers that have made it increasingly difficult for many Islanders to obtain new credit cards in recent years.

The announcement is the latest development in a campaign that the Jersey Consumer Council has been pursuing for several years on behalf of local consumers. Earlier this year, the States Assembly approved amendments to the Register of Names and Addresses (Jersey) Law, paving the way for the sharing of information with credit reference agencies and addressing one of the key obstacles cited by credit card providers. The move is intended to make it easier for banks and lenders to verify Jersey residents when assessing applications for financial products.

Our Chairman, Carl Walker, said: “The Council is both relieved and delighted that the determination and effort we have put into this issue has finally paid off. It was a challenging start when trying to convince the Government and other agencies in the Island that something had happened to cause many credit card companies to 'switch Jersey off’, but thanks to the hundreds of consumers who completed our survey – and our discussions with the credit reference agencies – we were able to identify the issue and convince the Government to do something about it.”

The Jersey Consumer Council first publicly raised this issue in early 2020, after fielding calls and responding to emails from hundreds of Islanders who had experienced being turned down for credit cards, additional family cards or store cards, or who had their credit card accounts closed based purely on their JE postcode. Following that, hundreds of Islanders then responded to our online credit card survey.

After contacting the credit reference agencies ourselves and identifying what the problem was, we then alerted the Government to the issue and worked with them to find a solution.

“It has been a lengthy process, but we are glad that there finally seems to be a light at the end of the tunnel for Jersey consumers,” added Mr Walker. “We hope that this change will open up more credit card options to Islanders again.”

The reason access to mainstream UK credit cards has become increasingly restricted over recent years is that credit providers have argued that difficulties in accessing the information required to verify Jersey residents and assess creditworthiness have made servicing Jersey applicants more complex and costly. The Government believes the new arrangements will help create an environment where more providers are willing to offer products to Islanders.

The Social Security Minister, Senator Elaine Millar, said: “We recognise that for some time Islanders have faced a challenge when trying to obtain new credit cards. We've been working in the background to address this, and we are now making a positive step forward.

“Sharing our basic information will make it easier for banks to carry out the necessary checks and will give us more choice and greater access to credit cards in Jersey."

The Council has long argued that this issue extends beyond convenience. Credit cards can provide important consumer protections, particularly when making purchases online or booking travel and other high-value goods and services. They also offer an additional layer of protection against fraud in certain circumstances. At the same time, the Council continues to encourage consumers to use credit responsibly and only borrow within their means.

“Credit cards not only offer vital consumer protection under the Consumer Credit Act 1974, but also give Islanders an important fraud safety net when shopping online, and when ‘tapping’ or using wireless forms of payment,” said Mr Walker. “Furthermore, having access to a more comprehensive credit history, financial institutions can make better informed decisions about credit card applications. This fosters responsible lending practices and reduces the risk of individuals obtaining credit they cannot manage."

The sharing of personal information will not be compulsory. Islanders who do not wish their details to be shared can opt out before the scheme launches, and will continue to be able to opt out afterwards, although the Government has warned that doing so could affect access to some financial products in the future.  If you want to opt out, you can do so by contacting the Employment, Social Security and Housing Department.