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CIBIL Score- The bank will have to inform CIBIL about the loan or credit card closure on the same day. Earlier it used to take weeks to months. The customer faced difficulty in getting loan.
New Delhi. Now people will not have to wait long to get their credit score updated. Reserve Bank of India (RBI) has issued new draft guidelines to further strengthen the country’s credit system, under which it will be mandatory for all Credit Information Companies (CICs) to update credit scores every 7 days. Currently the score is updated once in 15 days.
This new provision will come into effect from 1 April 2026. Currently, due to the credit score being updated once in 15 days, many times customers face difficulty in getting loan or credit card on time. According to the new guidelines, CICS will have to compulsorily update the data on 7, 14, 21 and 28 of every month and by the last day of the month.
Loan closure will have to be informed immediately
The bank will have to inform CIBIL about loan or credit card closure on the same day. Earlier it used to take weeks to months. The customer faced difficulty in getting loan. Apart from this, banks and other financial institutions will send new data by the 3rd of every month, which will increase the speed and accuracy of the system.
No credit reports without permission
The second major change that has been made is that banks and NBFCs will no longer be able to access the credit report of the customer without his explicit permission. This will reduce the chances of unnecessary credit checks, and the CIBIL score of the customer will also not go down unnecessarily. With this, the credit profile will be more secure than before.
The third important thing is that strict penalties have been imposed on wrong reporting, delay in data update and unauthorized credit checks. This move will force banks and financial institutions to keep credit data more accurate, clean and updated, and customers will also see a faster improvement in their scores.
Will get up-to-date report
The fourth major advantage is that banks will now get fresh and up-to-date credit reports of customers. This will enable them to better assess the risk and decide the interest rate, amount and tenure of the loan more accurately. This will increase transparency and efficiency in the entire banking system.
