CIBIL
Santosh giri
(Querist) 21 December 2010
This query is : Resolved
Dear All
CIBIL(Credit Information Beuro of India limited) is seems like Notice Board,All THE FINANCIAL INSTITUTION provide them data and CIBIL just past that data witout doing any cross verification .Most of the time if things has been corrected even though they will not update the things .
Is there any law to stop such a report beacuse it effects a lot .
Y V Vishweshwar Rao
(Expert) 21 December 2010
While taking any loan by individual Borrower there will be an agreement for notifying the loan particulars to CIBIL - it is one of the Condition for the loan - at the most you can insist the Bank to delete the data as the loan is repaid - by up dating the Data of individual Borrower !
Santosh giri
(Querist) 21 December 2010
Dear Sir
Agree your veiw ,I was working with Nomber one Private sector bank as customer sevice manager,where I came across situtaion people who all are not eligibile for credit card even though they got it.Many of them have never used that card even though their name comes under difaulter list.Some time because of Bank's mistake error has occured ,Instead of clearing his mistake bank or financial instituion send to CIBIL. AND CIBIL will past it without doing any cross verification.
My question is not Ban to CIBIL however report must be correct for this CIBIL has to do cross verify and then provide any report and its not a matter of individual,its matter of correct information about socity.
Y V Vishweshwar Rao
(Expert) 21 December 2010
The Agreement between CIBIL and banks /FI will be - may be - only recording Data as provided by the banks / FI - it is for the Banks /FI to correctly report to the CIBIL - if any default / or mistake with the Bank report the same to Ombudsman and also claim damages !
Advocate. Arunagiri
(Expert) 22 December 2010
CIBIL is only recording the statements of the BANK on a particular person's account. If there is any mistake in the data available with CIBIL you can send notice to the CIBIL and the concerned bank.
Santosh giri
(Querist) 22 December 2010
Dear Sir
But damaged would occure immmidiate effect.India's litrecy is stil very low .They are not much aware about this thing,Proper eductaion has not been provided by Bank's to the customer,Most of the time bank's employee do not know the things properly. Basically in Banks entire data & calcullation is bassed on softwares.Proper information & education has not given by all Banks to the customer.They do not have their sales standard pocedure.So CIBIL score has to publish by the CIBIL without paying anything so person can check it and correct it .
M V Gupta
(Expert) 22 December 2010
It is the responsibility of the Banks to keep CIBIL informed of the upadtes. If on account of the default on the part of the bank in updating the information any loss or damage occurs to the customer, it will amount to deficiency in service and the customer would be entitled to file a complaint before the consumer forum and calim damages from the Bank concerned.
malipeddi jaggarao
(Expert) 23 December 2010
CIBIL information report is maintained by CIBIL for helping all the banks and financial institutions who are members of the bureau. The credit bureau keeps the information about the credit history of an individual or a firm compiled together in a database which is issued to the banks on request.
The basic objective of CIBIL is to create a sound lending culture and ensure that financial environment of the country remains healthy, which works in favour of the consumer. According to the Managing director of CIBIL, one should appreciate that running a credit bureau in India is like running a credit bureau for the entire Europe. In India when we get data from the lenders it is in free flow data format because of so many variations in names, surnames and addresses etc. Implementing validation process is the biggest challenge.
s far as their role is concerned, credit information companies collect loan repayment data from various lenders, which become available to any lender whom the consumer approaches for fresh credit. This data from the CIC ensures that prospective lenders get to know the total borrowings made by the consumer in the past as well as their repayment track record. Therefore consumers who have taken care to pay their installments in time benefit by getting loans quicker and at better terms, whereas the consumers who have defaulted in the past have to pay higher rates or are denied credit facilities. All the activities of Credit Information Companies are governed by credit information companies regulation act 2006. Please go through its contents.
Santosh giri
(Querist) 23 December 2010
Dear Sir
Agree your view however In Indian Financial Institution ,Lots of error has been occured because of Bank's Mistake.Due to this wrong information has been passed to CIBIL and CIBIL without doing any cross verification they just update it.Damage comes from immidiate effect.
Can we stop to creat wrong credit score ?
How could a poor or illitrate people would know about his/her score ?
Arun Kumar Bhagat
(Expert) 01 January 2011
Need of the hour is that there should be some laws to curb this dadagiri.
