The Reserve Bank of India (RBI) has issued a directive requiring Credit Institutions (CIs) and Credit Information Companies (CICs) to update and report credit information on a fortnightly basis, effective January 1, 2025. This update, replacing the previous monthly reporting cycle, aims to ensure more current and accurate Credit Information Reports (CIRs) that reflect borrowers’ latest credit activities. CIs must submit credit data by the 15th and last day of each month, with CICs required to process and ingest this data within five days of receipt. Non-compliance will result in penalties under the Credit Information Companies (Regulation) Act, 2005. Additionally, CICs are instructed to provide a list of non-compliant CIs to the RBI for monitoring purposes on a half-yearly basis. The RBI encourages CIs and CICs to implement these measures as soon as possible but no later than the stipulated deadline.
RESERVE BANK OF INDIA
RBI/2024-25/60
DoR.FIN.REC.No.32/20.16.056/2024-25
August 08, 2024
All Commercial Banks (including Small Finance Banks, Local Area Banks and
Regional Rural Banks, and excluding Payments Banks)
All Primary (Urban) Co-operative Banks/State Co-operative Banks/ Central Co-operative Banks
All-India Financial Institutions (Exim Bank, NABARD, NHB, SIDBI and NaBFID)
All Non-Banking Financial Companies (including Housing Finance Companies)
All Asset Reconstruction Companies
All Credit Information Companies
Dear Sir/ Madam,
Frequency of reporting of credit information by Credit Institutions to Credit Information Companies
Please refer to the circular DBR. No. CID. BC. 60/20.16.056/2014-15 dated January 15, 2015, inter-alia, directing the credit information companies (CICs) and credit institutions (CIs) to keep the credit information collected/maintained by them updated regularly on a monthly basis or at such shorter intervals as mutually agreed upon between the CI and the CIC. Considering the faster turnaround time in credit underwriting through digital processes, it is imperative that the Credit Information Reports (CIRs) provided by CICs reflect a more current information, enabling lenders to make informed credit decisions.
2. Accordingly, in exercise of the powers conferred by sub-section (1) of section 11 of the Credit Information Companies (Regulation) Act, 2005 (CICRA, 2005), it is directed that CICs and CIs shall keep the credit information collected/maintained by them updated regularly on a fortnightly basis (i.e., as on 15th and last day of the respective month) or at such shorter intervals as mutually agreed upon between the CI and the CIC. The fortnightly submission of credit information by CIs to CICs shall be ensured within seven (7) calendar days of the relevant reporting fortnight. Further, as directed vide circular DoR.FIN.REC.49/20.16.003/2023-24 dated October 26, 2023, CICs are required to ingest credit information data received from the CIs, as per their data acceptance rules, within seven (7) calendar days of its receipt from the CIs. This is now being revised to five (5) calendar days of its receipt.
3. CICs shall provide a list of CIs which are not adhering to the fortnightly data submission timelines to Department of Supervision, Reserve Bank of India, Central Office at half yearly intervals (as on March 31 and September 30 each year) for information and monitoring purposes.
4. These instructions shall be effective from January 1, 2025. However, the CIs and CICs are encouraged to give effect to these instructions as expeditiously as feasible but not later than January 1, 2025.
5. CICs and CIs that contravene or default in adherence to the above directions shall be liable for penal action as per the provisions of CICRA, 2005.
Yours faithfully
(J. P. Sharma)
Chief General Manager
