Executive Summary:
This circular from the Reserve Bank of India mandates the reporting of Relationship Segment (RS) data by Credit Institutions (CIs) to Credit Information Companies (CICs) to improve the establishment of cross-linkages across Consumer, Commercial, and MFI Bureaus. The reporting is mandatory for new loan accounts opened after July 1, 2022, with a phased approach for reporting legacy data. CIs must commence reporting as per the prescribed timelines.
Key Points / Main Content:
* **Background:**
* Refers to the Uniform Credit Reporting Format circular DBOD.No.CID.BC.12720.16.056201314 dated June 27, 2014.
* Notes low levels of RS details in CIC databases.
* **Mandatory Reporting of RS Data:**
* Reporting of RS data by CIs to CICs is now mandatory.
* Applies to new loan accounts opened after July 1, 2022.
* **Phased Approach for Legacy Data:**
* Accounts opened between July 1, 2021, and June 30, 2022, must be updated by January 1, 2023.
* Accounts opened between July 1, 2018, and June 30, 2021, must be updated by July 1, 2023.
* A timeline for reporting the remaining legacy data will be reviewed by the Technical Working Group.
Impact Analysis:
* **Credit Institutions (CIs):**
* Impact: CIs, including Commercial Banks, Small Finance Banks, Local Area Banks, Regional Rural Banks, Primary Urban Cooperative Banks, State Cooperative Banks, District Central Cooperative Banks, All-India Financial Institutions, Non-Banking Financial Companies, and Housing Finance Companies, must now report RS data.
* Action Required: CIs must implement mandatory reporting of RS data for new accounts opened after July 1, 2022, and follow the phased approach for updating legacy data, adhering to the specified timelines.
* **Credit Information Companies (CICs):**
* Impact: CICs will receive more comprehensive data, enabling them to provide more complete credit information to Credit Institutions.
* Action Required: CICs should prepare to receive and process the increased RS data from CIs, ensuring their systems can handle the new data fields and volumes.
Key Entities Referenced
Reserve Bank of India: The central bank of India, which issued the circular.
Small Finance Banks: A type of commercial bank in India.
Regional Rural Banks: A type of commercial bank in India.
Primary Urban Cooperative Banks: A type of cooperative bank in India.
State Cooperative Banks: A type of cooperative bank in India.
District Central Cooperative Banks: A type of cooperative bank in India.
Credit Information Companies: Companies that collect and provide credit information on borrowers.
Mumbai, Maharashtra: City in India where the central office of Reserve bank of India is located.
भारतीय �रज़व र् बक�
RESERVE BANK OF INDIA
RBI/2021-22/111
DoR.FIN.REC.59/20.16.056/2021-22 October 14, 2021
All Commercial Banks (including Small Finance Banks, Local Area Banks and
Regional Rural Banks)
All Primary (Urban) Co-operative Banks/State Co-operative Banks/ District Central
Co-operative Banks
All-India Financial Institutions (Exim Bank, NABARD, NHB and SIDBI)
All Non-Banking Financial Companies (including Housing Finance Companies)
All Credit Information Companies
Madam/Dear Sir,
Data Format for Furnishing of Credit Information to Credit Information
Companies
Please refer to our circular DBOD.No.CID.BC.127/20.16.056/2013-14 dated June
27, 2014, inter alia setting out a Uniform Credit Reporting Format for reporting
credit information to the Credit Information Companies (CICs). The Uniform Credit
Reporting Format has two Annexes, Annex-I contains two formats for credit
reporting, viz., Consumer Bureau and Commercial Bureau, whereas Annex-II
contains credit reporting format for Micro Finance Institution (MFI) segment.
2. The Relationship Segment (RS) in the Commercial Bureau format inter alia
captures information on relationship fields of the corporates, viz., business
category and type of relationship (i.e. contains information on directors,
shareholders, proprietors, partners, trustees, holding companies, subsidiary
companies and associated companies related to the borrower). It is observed that
there is a low level of RS details in the databases of CICs.
3. The RS details are very important in establishing cross-linkages across the
three modules, viz., Consumer, Commercial and MFI Bureaus, while providing
____________________________________________________________________________________________________
िविनयमन िवभाग, के�ीय काया�लय, 13वी मंजील, के�ीय काया�लय भवन, श. भगत िसंग माग�, मुंबई - 400 001
Department of Regulation, Central Office, 13th Floor, Central Office Building, S. Bhagat Singh Marg, Mumbai - 400 001
टेिलफोन/Tel. No.:91-22-22601000, टेिलफोन/Tel. No.(D):91-22-22701276, फै�/Fax No. 91-22-22701239,
email ID: cgmicdor@rbi.org.incomprehensive credit information of a borrower to Credit Institutions (CIs) by
CICs. Accordingly, it has now been decided that the reporting of RS data by CIs to
CICs would henceforth be mandatory. In order to ensure implementation in a non-
disruptive manner, the reporting requirement may be staggered in the manner
indicated below.
(i) The reporting would be mandatory in respect of new loan accounts opened
after July 1, 2022.
(ii) A phased approach shall be followed for reporting of legacy data as detailed
below:
a. The accounts opened during the period (July 1, 2021 to June 30, 2022)
have to be updated by January 1, 2023.
b. The accounts opened in past three years (July 1, 2018 to June 30, 2021)
have to be updated by July 1, 2023.
c. A timeline for reporting of the remainder legacy data would be reviewed by
the Technical Working Group and the CIs would be advised in due course.
4. The CIs are advised to commence reporting the aforesaid information as per
the prescribed timelines to CICs.
Yours faithfully
(Sunil T S Nair)
Chief General Manager
____________________________________________________________________________________________________
िविनयमन िवभाग, के�ीय काया�लय, 13वी मंजील, के�ीय काया�लय भवन, श. भगत िसंग माग�, मुंबई - 400 001
Department of Regulation, Central Office, 13th Floor, Central Office Building, S. Bhagat Singh Marg, Mumbai - 400 001
टेिलफोन/Tel. No.:91-22-22601000, टेिलफोन/Tel. No.(D):91-22-22701276, फै�/Fax No. 91-22-22701239,
email ID: cgmicdor@rbi.org.in