As part of her review of the credit reporting privacy code, Privacy Commissioner Marie Shroff is considering whether credit agencies should be allowed to keep driver licence numbers on file.
The code now bans them from doing so.
But the agencies say it would aid accuracy of their records, as name, address and birth-date details aren't always enough to identify someone.
They also say identity fraud is on the rise, with people taking out multiple loans under multiple names or using variations of their name.
Ms Shroff says Australia allows driver licences to be used in credit reporting, and some credit providers collect the information as a means of proving identity.
She says the favoured direction is that it be allowed but with controls, such as only giving subscribers the licence number for verification purposes, and ensuring credit records are not searchable by driver licence number alone.
Agencies seek licence to list licences
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