RBI clamps down on 4 credit bureaus for non-compliance

RBI clamps down on 4 credit bureaus for non-compliance

The Reserve Bank of India (RBI) on June 26 clamped down on four credit bureaus over rule violations, including not maintaining complete and accurate data on credit information. The regulator has imposed monetary penalties on these firms.

These companies include CRIF High Mark Credit Information Services, Equifax Credit Information Services, TransUnion CIBIL and Experian Credit Information Company of India.

RBI imposed a penalty of Rs 25.75 lakh and Rs 24.25 lakh on CRIF High Mark Credit Information Services and Equifax Credit Information Services, respectively.

The central bank also imposed a monetary penalty on TransUnion CIBIL of Rs 26 lakhs. It also imposed a penalty of Rs 24.75 lakhs on Experian Credit Information Company of India.

The RBI in separate press releases said that the credit bureaus did not comply with certain provisions of the ‘Credit Information Companies (Regulation) Act, 2005 and said that certain data relating to the credit information maintained by the company was not accurate and complete.

“These actions are based on the deficiencies in regulatory compliance and are not intended to pronounce upon the validity of any transaction or agreement entered into by the companies,” RBI said.