When deciding whether or not to grant a loan a bank tries to establish the creditworthiness of the borrower. To assist them they carry out a credit check.
How is it done?
More than likely they contact the Irish Credit Bureau. Formed in 1965 it enables fast decisions in providing credit and assists with fraud prevention.
Who owns it?
It is owned and financed by its members-80 different financial institutions.
What kind of information does it have?
The Bureau has information on your mortgage repayments,car loans,personal loans,leasing agreements,hire purchase agreements and credit card details.
Anytime you apply for a loan from one of the lenders the institution will access your credit report.
Information is held for 5 years after a loan/credit agreement is closed.
Can I access my report?
Yes. The Bureau complies with the Data Protection Act1988/2003. Private individuals (the Data subject) may inspect their own Irish Credit Bureau report.
The Office of the Director of Corporate Enforcement has recently been in the news due to the fact that while working with the fraud squad they are searching and removing files from the hq of Anglo Irish Bank. This is the first time that the O.D.C.E. sought permission from the courts to search the premises of a financial institution under investigation for possible breaches of company law.
The aims of the O.D.C.E. is to improve the compliance environment for corporate activity in the Irish economy. It has the power to investigate breaches of Company law,and to bring to account those who are in breach of the law.(to ensure that Companies and those who run them act within Company Law)
Some of the issues investigated during 2008 include
- the purchase and sale of shares in one plc(DCC) by another plc(Fyffes)
- the publication of a 200 page Company Law handbook on property
management companies to help improve their governance
- ultra vires investigations of company directors.
The team working in the O.D.C.E. is made up mainly of accountants,lawyers and gardai.
As the gobal recession bites hard,their is growing suspicion that many governments are edging towards protectionism. The Czech government in its EU presidency is determined to uphold unity and ensure that member states obey the rules of the single market. The G7 states also have pledged to work together in tackling the global crises.
Meanwhile,France’s plan to inject €6.5bn into its car industry (Renault/Peugot/Citroen) has angered the German,Swedish and the Czech Republic governments. Hot on its heels is aid for the Spanish and Italian car makers from their authorities.
President Obama meanwhile has a “Buy American“provision in the stimulus package leaving little doubt as to where his sentiments lie. The U.S has been criticized by Europe,Japan and Australia. The Chinese have also been critical without naming the U.S.
When announcing its 4 trillion yuan stimulus ($586bn) it avoided a “buy local” message.
Despite the economic situation it appears companies are still anxious to be associated with the top stars from the game of golf, and are prepared to pay well for that association. Tiger Woods earned $7.7m in on course winnings in 2008 but this was dwarfed by the $110m earned off it. Endorsements,appearance fees, speaking engagements,computer games,clothing contracts are just some of the means by which this money is earned. Buick,Nike,Gatorade,Titleist and Gillette are just some of the corporations who see value in Tiger. This means that since 1996 Tiger has won $108m on course and a staggering $886m off it. It clearly makes business sense for these global companies to be associated with a global icon. If he has normal (for him) success when he returns from injury he will become golfs first $1bn man in 2009.
What about Padraig Harrington?
Irelands superstar in 2008 won $5.6m on course and $12m off it.
That seems very good value for Padraig’s sponsors in comparaison to say Michelle Wie who won $76,000 on the course and a cool $7m off it!
Nice work if you can get it!
Setanta Sports faces an uncertain future. The Irish company formed in the early 1990’s,initially to broadcast Gaelic football and hurling abroad,has seen its share of coverage of the Premiership reduced.
Setanta is broadcast freely on the Chorus NTL platform and as a subscription channel on Sky digital. It presently provides a service in 24 countries.
The Premier League last week displayed its commercial attraction by securing a 5% increase for its various packages(£1.8bn),with Sky being the big winner. The price is a result of a bidding process. This covers 2010 to 2013. Determined not alone to hold on to what it already has, Sky has re-captured the Monday night football leaving Andy Gray with 115 matches to chose from, and Setanta with just 23 Saturday evening matches.(5.30pm slot)
This is a massive blow to Setanta who will struggle to convince subscribers that its worth paying extra each month for the occasional Saturday evening match.
Sky has 600,000 subscribers in Ireland. If the cheapest subscription was paid by all this is revenue of €150m a year,twice that if the most expensive package was taken by all.
For Setanta,they will seek to secure the rights of various sports in different countries.
There is always the possibility of an alliance,merger or possible take-over(The Disney owned ESPN perhaps.). If they wish to compete with Sky in the future they will need to be able to match Sky’s financial strength
Warren Buffet,the muti-billionaire has purchased $300m of debt from iconic motorcycle manufacturer Harley-Davison Inc.-in return for a 15% annual interest payment. In so doing Buffet is again following his oft proven path to success by investing in firms with a powerful competitive advantage.(Brand names). Last April his company put up $6.5bn to help Mars buy chewing gum maker Wrigley.
Warren Buffet is said to be the worlds richest person. He is reputed to be worth $62bn.Through his investment company,Berkshire Hathaway Inc., he has shown his investment prowess year after year for the last 30 years. Even now at the age of 78 he is still a man of massive influence in global business matters. He is said to be modest, draws down a modest salary ($100,000 in 2006) ,has lived in the same house for 40 years,and is a philantropist.
Buffet has invested massive sums into Coca Cola,American Express,Wal Mart,Anheuser-Busch,Nike, General Electric and Wells Fargo.
As a thirteen year old he completed his first tax return. Working as a newspaper delivery boy he felt he ought to declare his income to revenue.
He did however deduct the cost of his bicycle and watch as a business expense!
Renewable energy firm Airtricity has re- entered the Irish market after a three year break. Now owned by Scottish and Southern Energy (SSE) it intends to offer stiff competition for the State provider of elecricity(monopoly), the E.S.B. Its target is 15% of the market, that’s 500,000 customers.
Any ideas on what they need to do in order to achieve this?
The Society of the Irish Motor Industry , the Trade Association representing garages nationwide have reported that January new car sales clocked in at 15,929. This is a 67% decline from January 2008 figures(47,609). This is the most up to date snapshot of the state of the Irish Economy. It indicates the unwillingness of people to update their motors. It has an immediate negative impact on exchequer returns,and will cause unemployment in the garages. The weakness of sterling as against the Euro has seen many people travel north or across the Irish sea to pick up a bargain.
Will the Government introduce a testing system (a la NCT) for all foreign imported cars?
What chance of a re-introduction of a Government backed “scrappage” on old cars?