RBI pulls up credit information bureaus on rising customer complaints

The Reserve Bank of India today flagged concerns over rising customer complaints about credit information and asked credit information bureaus to improve data quality and ensure timely redressal of complaints.

Deputy Governor of RBI, Swaminathan J., held an interaction with chief executives of Credit Information Companies (CICs). During the course of the interaction, the Deputy Governor also pointed out some concerns that emerged during the Reserve Bank’s supervisory assessment. He highlighted the vital role played by CICs in the financial system. The meeting was also attended by the Executive Directors and other senior officials of the Department of Supervision and Department of Regulation, RBI said in a statement.

CICs need to focus on six areas, including strengthening of the internal ombudsman framework and streamlining the process for handling data correction requests. They also need to strengthen cybersecurity and data privacy through a robust information security governance framework and address concerns arising out of the usage of data for consulting and analytics, Swaminathan said.

The CICs shared their feedback and highlighted the initiatives that are being taken in collaborating with the credit institutions (CIs) for enhancing data quality.