Penalties and recent changes for the four CICs

[RAMESH BABU N]

Recently the 4 CICs - Credit Information Companies - were charged with hefty penalties for their shortfalls n inaccurate n inconsistent data in their rating processes.

The penalties were in the region of 20-25 lakhs. See the attachment.

More changes will be made to make them function better. So says this article.

Coming Soon: One format for data submission for banks to credit information companies

At present, each lender has its own format, which leads to data variation, an issue flagged by the banking regulator, leading to a rise in cases of customers facing denial of loan or reduction in credit limit. "We are working on a common format," said a bank executive familiar with the development.

m.economictimes.com

Let's hope this will result in faster resolution of our grievances with these 4 CICs - CIBIL, EXPERIAN, CRIF n EQUIFAX.

 

[Vasuki]

Recently the 4 CICs - Credit Information Companies - were charged with hefty penalties for their shortfalls n inaccurate n inconsistent data in their rating processes.

The penalties were in the region of 20-25 lakhs. See the attachment.

More changes will be made to make them function better. So says this article.

Coming Soon: One format for data submission for banks to credit information companies

At present, each lender has its own format, which leads to data variation, an issue flagged by the banking regulator, leading to a rise in cases of customers facing denial of loan or reduction in credit limit. "We are working on a common format," said a bank executive familiar with the development.

m.economictimes.com

Let's hope this will result in faster resolution of our grievances with these 4 CICs - CIBIL, EXPERIAN, CRIF n EQUIFAX.

25 lakh is hefty 🥲.
Shoud impose 25 cr

 

[Deleted member 11974]

25 lakhs is peanuts

 

[Indian]

CRIF deserves , morons always rating LOW score

 

[RAMESH BABU N]

25 lakh is hefty 🥲.
Shoud impose 25 cr

The penalty structure is as per the stipulated rules n regulations governing the functioning of those CICs. And, certainly not based on the perceptions of individuals.

 

[Vasuki]

The penalty structure is as per the stipulated rules n regulations governing the functioning of those CICs. And, certainly not based on the perceptions of individuals.

True . But we all know the penalty done by Apex court sometime goes to 1rs .
Atleast there is check hence penalties

 

[RAMESH BABU N]

True . But we all know the penalty done by Apex court sometime goes to 1rs .
Atleast there is check hence penalties

Different Acts/Statutes decide.

In Nov 2023, RBI has imposed a penalty of Rs 10,000 each on Bank of America, N.A., and HDFC Bank Ltd for violations of certain norms relating to reporting of NRI Accounts.

At times, the Penalties may also end up in Crores.

 

[Vasuki]

Different Acts/Statutes decide.

In Nov 2023, RBI has imposed a penalty of Rs 10,000 each on Bank of America, N.A., and HDFC Bank Ltd for violations of certain norms relating to reporting of NRI Accounts.

At times, the Penalties may also end up in Crores.

Atleast there is some justice.in banking sector and even evolving with digial compalint infrastructure.

Even though sometimes it seems like poetic justice but the significance of penalty not the amount is paramount too .