Now Get Compensation If Bank and CIBIL Does Not Fix Report - New RBI Framework

[SmartSave]

What if your CIBIL is wrongly reported? and there are no answers to your complaints?

Now you will get ₹100 per day in case your complaint is not resolved within 30 days from the date of filing the complaint.

RBI issued a framework for credit institutions and credit information companies (CIBIL, EXPERIAN, etc.).


1 - You shall be informed and advised on the action taken on the complaint (including rejected complaint with reasons for rejection).


2 - The compensation amount shall be credited to your bank account within 5 working days of the resolution of the complaint.


3 - You will receive alerts through SMS/ email when-


• your Credit Information Report (CIR) is accessed by any institution.
• when Credit institutions send info regarding your defaults to credit information companies (CICs).

A much needed move by RBI to make the credit institutions more transparent and efficient regarding the complaints.

Now, with a monetary fine, credit institutions will move faster to provide the resolution to your complaints.

This will come in effect 6 months from this circular.

Circulars:
-

https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NOTI72FCCD26102301BDA57DCC7B47C9BB0B0994716BED22.PDF

-

https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NT73D86ADB78399949C199250E3E16F037D5.PDF

Credit: anshgupta64

One should know these circulars to exercise their rights. Kudos to RBI for such frameworks that protect customers and their rights.

 

[V360]

All this is of no use - RBI is just directing our issues in Bank's queue - Banks are closing these issue stating internal policy.

So not sure, how is it helping the customers?

All this will only make sense when RBI is actually getting pushing Banks to provide concrete resolution.

 

[D₹V]

What if your CIBIL is wrongly reported? and there are no answers to your complaints?

Now you will get ₹100 per day in case your complaint is not resolved within 30 days from the date of filing the complaint.

RBI issued a framework for credit institutions and credit information companies (CIBIL, EXPERIAN, etc.).


1 - You shall be informed and advised on the action taken on the complaint (including rejected complaint with reasons for rejection).


2 - The compensation amount shall be credited to your bank account within 5 working days of the resolution of the complaint.


3 - You will receive alerts through SMS/ email when-


• your Credit Information Report (CIR) is accessed by any institution.
• when Credit institutions send info regarding your defaults to credit information companies (CICs).

A much needed move by RBI to make the credit institutions more transparent and efficient regarding the complaints.

Now, with a monetary fine, credit institutions will move faster to provide the resolution to your complaints.

This will come in effect 6 months from this circular.

Circulars:
-

https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NOTI72FCCD26102301BDA57DCC7B47C9BB0B0994716BED22.PDF

-

https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NT73D86ADB78399949C199250E3E16F037D5.PDF

Credit: X user (Will update their username if I find again).

One should know these circulars to exercise their rights. Kudos to RBI for such frameworks that protect customers and their rights.

Great info 💯.

Will get compensation on wrong reporting too 😂 if not resolved.

 

[SmartSave]

All this is of no use - RBI is just directing our issues in Bank's queue - Banks are closing these issue stating internal policy.

So not sure, how is it helping the customers?

All this will only make sense when RBI is actually getting pushing Banks to provide concrete resolution.

Did you read what this is about?

You applied for a credit card, it gets rejected citing internal policy has got nothing to do with this.

Bank reported wrong balance, some lender reported wrong default payments/late payments, wrong personal info, unauthorized credit enquiry, and other such issues in your credit report by any credit institution will now have to be resolved within a month and if they don't, then you have the right to claim compensation. Earlier, even if they would take months, you were at the mercy of CIC/CI to resolve and escalating to RBI B.O. would also not have any guarantee of resolution or compensation (this was something RBI would've decided whether to award or not) -- Now it's fixed and clarified.

CI and CIC both have 1 month to resolve and due to this compensation mechanism in place, they have no choice but to resolve it unlike in the past where they would just use the blame game and make the customer run around from CIC to CI and vice versa. And for months it would be neglected. All of these have greater chances of resolving due to penalty being involved.

Recently I had HDFC Bank suppress a duplicate credit enquiry, while they did it in under a week, if they would've ignored it and wasted my time for more than a month, I would've been eligible for a compensation.

The idea here is to cover the loss of time of customer that these CIs tend to do (not much but the sense of penalty itself is enough). When we delay a payment, they start imposing interests and penalties but when it comes to resolving issues, we as a customer weren't getting anything for such issues, now we have the right for it. That is a good move.

 

[V360]

Did you read what this is about?

You applied for a credit card, it gets rejected citing internal policy has got nothing to do with this.

Bank reported wrong balance, some lender reported wrong default payments/late payments, wrong personal info, unauthorized credit enquiry, and other such issues in your credit report by any credit institution will now have to be resolved within a month and if they don't, then you have the right to claim compensation. Earlier, even if they would take months, you were at the mercy of CIC/CI to resolve and escalating to RBI B.O. would also not have any guarantee of resolution or compensation (this was something RBI would've decided whether to award or not) -- Now it's fixed and clarified.

CI and CIC both have 1 month to resolve and due to this compensation mechanism in place, they have no choice but to resolve it unlike in the past where they would just use the blame game and make the customer run around from CIC to CI and vice versa. And for months it would be neglected. All of these have greater chances of resolving due to penalty being involved.

Recently I had HDFC Bank suppress a duplicate credit enquiry, while they did it in under a week, if they would've ignored it and wasted my time for more than a month, I would've been eligible for a compensation.

The idea here is to cover the loss of time of customer that these CIs tend to do (not much but the sense of penalty itself is enough). When we delay a payment, they start imposing interests and penalties but when it comes to resolving issues, we as a customer weren't getting anything for such issues, now we have the right for it. That is a good move.

This was posted in the newspaper too - do let me know if anyone gets helps with this implementation.

RBI circular has been a big hit already - I am sure you understand the Pun here.

Same will happen with this new guideline too - will bite the dust soon

 

[D₹V]

Credit: X user (Will update their username if I find again).

https://x.com/anshgupta64/status/1717525772280517084?s=20

Is it?

 

[SmartSave]

https://x.com/anshgupta64/status/1717525772280517084?s=20

Is it?

Yes. Updated. Thanks

 

[SmartSave]

This was posted in the newspaper too - do let me know if anyone gets helps with this implementation.

RBI circular has been a big hit already - I am sure you understand the Pun here.

Same will happen with this new guideline too - will bite the dust soon

6 months is the implementation timeline, so there's time for this to go into effect. Let's see.

 

[falcon007]

Wish this was issued atleast 2 years back.
I would have earned 35k+ due LazyPay issue for which it took me more than a year to resolve.

 

[cardy]

Is there any update regarding this. Is it implemented now or there's time till now

 

[doomlord]

Standard Chartered Bank did 2 CIBIL hits for one application, can this be used against them? I'd complained but they didn't reply