Credit report

Borrowers note you can get a free credit report with credit score every year


oi-Roshni Agarwal


In line with RBI standards, if you are looking for a Cibil report and Cibil score for borrowing purposes, you can avail it for free once per calendar year. So, if you are about to enter into a loan agreement and your bank has requested it, you can get the same for free from any of the credit reporting companies.

Rbi Rule on Free Full Credit Report

As you know, the Committee to Recommend Data Format for Furnishing of Credit Information to Credit Information Companies (Chair: Shri Aditya Puri) set up by the Reserve Bank of India (RBI) had recommended that every customer of a credit institution should receive a Free basic consumer credit information (CIR) report every year by every credit information company (CIC).

“Given the importance of the credit report in an individual’s financial affairs, the individual has the right to obtain a copy of the report upon request. Further, the purpose of providing the free credit report does not would not be fully achieved unless this report contains details that would be included in the full credit report to which credit institutions have access when considering the application for new credit facilities. The report should also give the borrower the opportunity to have any errors in his credit history rectified.In view of these purposes, it has been decided, in the exercise of the powers conferred on the Reserve Bank of India by subsection (1) of Article 11 of the Credit Reporting Companies (Regulation) Act 2005, to order credit reporting companies to provide access in electronic format, on request and after authentication of the applicant, to a report of solvency Free full credit (FFCR) including credit score, once a year (January-December), to people whose cr change history is available with CIC. This report must show the last position of the credit institutions’ exposure to the natural person according to the registers available from the CIC. The content of the FFCR is the same as that contained in the most detailed version of the reports on the person provided to credit institutions, including the credit score.

All CICs will implement the necessary systems to provide access to the FCRF described above once, at any time, within a year, upon request, to individuals whose credit data they hold, from the year commencing 1 January 2017. CICs will notify on their website the procedure for accessing the FFCR, and also have a board approved policy in this regard,” added the RBI statement on the free annual credit report to individuals.

Credit Score and Credit Report – Importance in Loan Processing and Disbursement

This 3-digit score is very important because any deviation from the benchmark can even lead to the cancellation of your loan request. A credit score near 900 is very believable. There may also be an instance where your records are not showing as updated in the report, for which you need to get rectification.