Unpaid social housing dues to appear in credit reports

Recipients of social housing units who fail to make payments will have their information included in credit reports maintained by the Maldives Monetary Authority (MMA).

The HDC has reported that more than MVR 700 million in unpaid rent remains outstanding from social housing flats in Hulhumalé, where the highest number of such units are located.

The Credit Information Bureau of the MMA collects and maintains credit data, which plays a significant role in how financial institutions assess individuals and businesses seeking loans or credit facilities. Non-payment or irregular repayment of loans can negatively affect a person’s credit status.

HDC is one of the entities that contributes data to the Credit Information Bureau. The corporation has confirmed that it will now begin sharing information on individuals and entities with outstanding dues related to social housing flats.

This means individuals who have defaulted or failed to pay regularly for their flats may face restrictions in obtaining loans or goods on credit, as banks and other institutions will consider their payment history during credit evaluations.