Page 59 - BANKING FINANCE NOVEMBER 2023

RBI CIRCULAR

CICs only when the CIR enquiry reflects in the CIR 2.5. Periodic review of match logic algorithm by CICs
of the customer.
a. CICs shall have a board-approved policy for under-
b. CIs shall send alerts through SMS/ email to custom- taking periodic review (at least on a half-yearly
ers while submitting information to CICs regarding basis) of the ‘Search & Match’ logic algorithm
default/ Days Past Due (DPD) in existing credit implemented by them to provide Credit Informa-
facilities, wherever the mobile number/email ID tion Report (CIR) of a borrower.
details are available.
b. Root Cause Analysis (RCA) of the complaints being
c. To enable sending of alerts through SMS/ email, undertaken by CICs shall be used to identify issues
the Uniform Credit Reporting Format for report- in the existing ‘Search & Match’ logic algorithm.
ing credit information by CIs to CICs has been modi-
c. Results of the RCA and subsequent changes in the
fied as detailed in Annex (Item 1).
search and match logic shall be placed before the
d. CIs are advised to organise special awareness cam- Board of Directors of the CIC for review.
paigns to sensitise their customers about benefits 2.6. Ingestion of credit information data by CICs
of submission of their mobile numbers/ email IDs.
a. CICs shall ingest credit information data received
2.2. Setting up of Nodal points/ officials by CIs
from the Credit Institutions (CIs) as per its data ac-
a. CIs shall have a dedicated nodal point/ official of ceptance rules, into their databases within seven
contact for CICs for redress of customer griev- (7) calendar days of its receipt from the CIs.
ances. Details of the nodal point/ official along with
b. In case of data rejection, CICs shall communicate
email ID and telephone/ mobile number shall be to the concerned CI, regarding rejection of the
furnished by CIs to CICs.
data with reasons, within seven (7) calendar days
b. CIs shall inform CICs of any changes in the nodal of receipt of the data.
points/ fficial within five (5) calendar days of such
2.7. Disclosure of complaints on credit information re-
a change.
porting by CICs
2.3. Root Cause Analysis of the Complaints by CIs
a. CICs shall disclose on their websites, details of com-
a. CIs shall undertake Root Cause Analysis (RCA) of the plaints registered against them and CIs as per the
customer grievances at least on a half yearly ba- format given in Annex (Table 1 and 2).
sis. CIs shall also use, among others, information
2.8. Easy access to Free Full Credit Report for the indi-
on data rejected by the CICs and Data Quality In-
viduals by CICs
dex (DQI) provided by CICs as sources of informa-
tion for carrying out RCA. a. CICs shall provide easy access to Free Full Credit
Report1 (FFCR) including credit score, once in a
b. Analysis of the RCA shall be reviewed by the Top
year (January- December), to individuals whose
Management of CIs, at least, on an annual basis.
credit history is available with the CIC by display-
2.4. Reasons for rejection of requests for data correction ing the link prominently on their website (on the
by CIs Home page itself) so that individuals are able to
a. CIs shall inform the customers the reasons for the access their FFCR conveniently.
rejection of their request for data correction, if any, 3. The directions shall come into effect six (6) months from
to enable such customers to better understand the the date of this circular. CICs and CIs are directed to
issues in the CIR. put in place necessary systems and processes to imple-
b. A list of reasons for rejection of requests shall be ment these directions within this period.
circulated by CICs to all CIs. CIs shall use the same 4. CICs and CIs which contravene or default in adherence
while communicating the rejections of the request to the above directions shall be liable for penal action
for data correction made by customers/ CICs dur- as per the provisions of CICRA, 2005.
ing the grievance redress process.

54 | 2023 | NOVEMBER | BANKING FINANCE