How CIBIL get & share Credit information of consumers

How CIBIL get & share Credit information of consumers

CIBIL collects credit information of the customers of each member financial institutes & get it compiled by its own. CIBIL share the credit report of consumers with in its member group only. The Credit Information Companies (Regulation) Act, 2005, and various Rules and Regulations issued by Reserve Bank of India has empowered CIBIL or (Credit Information Bureau (India) Ltd to collect the data from various types of credit grantors (i.e. lenders). and then share the same within the group.   The legislation has enabled banks to submit data to CIBIL without obtaining borrower consent. This has enabled CIBIL to tracks repayment history of bank customers loans, credit cards and further banking finances. Data sharing is based on the Principle of Reciprocity, which means that only Members who have submitted all their credit data, may access Credit Information Reports from CIBIL. The relationship between CIBIL and its Members is that of close interdependence.

For credit grantors to gain a complete picture of the payment history of a credit applicant, they must be able to gain access to the applicant's complete credit record that may be spread over different institutions. CIBIL collects company and consumer credit-related data and collates such data to create and distribute credit reports to Members.

Thus, we can say that CIBIL collects commercial and consumer credit-related data and collates such data to create and distribute credit reports to Members.   (A Credit Information Report (CIR) is a factual record of a borrower's credit payment history compiled from information received from different credit grantors

Member banks contribute to CIBIL on a monthly basis data of all their customers who maintain a loan/credit-card account with them. You may not get your payment updated with CIBIL immediately after your payment since its update their data on the basis of monthly report of members.

Can a customer’s name be deleted from CIBIL?

No, since bankers share credit data monthly with the CIBIL so, a customer's name cannot be removed from CIBIL's database.