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CIBIL
RBI Deputy Governor M Rajeshwar Rao has asked credit information companies like TransUnion Cibil to switch to real-time data reporting from fortnightly at present. Speaking at a conference organised by Cibil here on Tuesday, Rao said quicker relaying of data from the CICs will help in deepening trust, efficiency and transparency in the system for everybody. The speech was posted by the RBI on Wednesday. "We must aspire to more frequent updates. Real-time or near-real-time credit reporting will improve underwriting precision, enable timely reflection of borrower actions like loan closures or repayments and deliver a superior consumer experience," Rao said. Admitting that this entails costs because of investments in technology, process reengineering, and change management, Rao underlined that the benefits will far outweigh the costs. He also asked the CICs and other companies competing with Cibil, including Experian and CRIF High Mark, to move towards having a "unique borrower ...
The retail credit market continued to see a softening in the last quarter of 202425, as new loan originations (partly a measure of credit demand and supply) grew at a slower rate of 5 per cent in March 2025 against 12 per cent a year ago, according to a report. The slowdown was despite the RBI slashing its benchmark lending rate by 25 basis points to 6.25 per cent in February. This and other factors pushed the Credit Market Indicator (CMI) to a two-year low of 97, according to TransUnion CIBIL's June 2025 Credit Market Report. A higher CMI reading indicates improving credit market health, while a lower reading indicates a decline. "The muted demand was more pronounced among consumers 35 years old or younger. Consequently, the share of New-to-Credit (NTC) consumers that lenders supplied decreased by three percentage points during the same period, given that a large share of younger consumers constitute the NTC segment," it said. However, it said, signs of improving credit performan
Credit information company TransUnion CIBIL Ltd on Thursday said Rajesh Kumar, its chief executive and managing director for the past five years, has resigned "recently". The credit information company said it has elevated Chief Revenue Officer Bhavesh Jain to the position vacated by Kumar, who resigned citing personal reasons. The timeline for Kumar's departure and Jain's transition into the new role was not specified. The announcement of the top executive's departure comes days after Congress MP Karti Chidambaram criticised TransUnion CIBIL in the Lok Sabha, and blamed the company for being non-transparent. Chidambaram had said the "Cibil score" highlighting an individual's credit history has grown to have a big influence on banks while they make lending decisions but there is a lack of transparency. "Nobody knows how Cibil as an organisation works, we do not know whether they are updating our credit history properly. there is no transparency, there is no way for us to appeal, a
The Reserve Bank of India on Monday said it has imposed penalties on Standard Chartered Bank-India, TransUnion CIBIL, Equifax Credit Information Services, and other entities for contravention of various norms. A monetary penalty of Rs 30 lakh has been imposed on Standard Chartered Bank-India for non-compliance with certain provisions of the 'Reserve Bank of India (Know Your Customer (KYC)) Directions, 2016'. Also, a penalty of Rs 26 lakh has been imposed on TransUnion CIBIL Limited, Mumbai for non-compliance with certain provisions of the Credit Information Companies (Regulation) Act, 2005 [CIC (R) Act], according to releases. RBI has slapped a penalty of Rs 24.25 lakh on Equifax Credit Information Services, Mumbai for non-compliance with certain provisions of the CIC Rules. Among other entities, a fine of Rs 24.75 lakh has been imposed on Experian Credit Information Company of India, Mumbai for non-compliance with certain provisions of the CIC (R) Act. Further, a penalty of Rs 25
Maharashtra Deputy Chief Minister Devendra Fadnavis on Tuesday said banks asking for CIBIL score from farmers before allotting crop loans would face FIRs. If a bank is found asking CIBIL score from farmers seeking crop loan, then an FIR should be filed against such bank. A decision is already taken by the state-level banking committee that the CIBIL score condition cannot be applied during crop loan disbursement. The Reserve Bank has also issued a circular regarding the same," Fadnavis told reporters in Amravati after holding a kharif season review meeting for the eastern region of Maharashtra. He said if some banks are going to harass farmers unnecessarily, then the government will have no other option but to register an FIR against such banks. He said some banks in Amravati have diverted the subsidy amount deposited into the bank accounts of farmers towards loan repayment. Not all the banks have been doing it, but some banks in Amaravati are found indulging in such practices. I h
With the intent of deepening credit flow to small businesses and also helping lenders avoid loan losses on such bets, credit information company TransUnion Cibil on Tuesday launched a ranking system for MSME borrowers. The 'FIT Rank' launched by TransUnion Cibil in association with Online PSB Loans, will rate the over 6 crore micro, small and medium enterprises (MSMEs) by drawing inputs from their current accounts, income tax returns and also Goods and Service Tax (GST) returns to arrive at a score between 1-10 to rate a borrower after taking consent to draw the relevant data. Cibil's managing director and chief executive Rajesh Kumar told reporters that the ranking will give lenders an idea about the capacity of an enterprise to pay, its creditworthiness and also intention to pay from past experience. Till now, the leading credit information company (CIC) had the Cibil MSME Rank model in the market which was taking inputs from past loans, but new to credit customers were left ...