RBI asks banks to use credit info for corporates

MUMBAI: The Reserve Bank on Wednesday said it expects banks to use credit bureaux information not just for retail borrowers but equally for corporates also. "Commercial banks are increasingly using information from the credit bureaux to extend loans to retail investors more in comparison to corporates.

"The impression, we have sometime back is that this is used actively for retail and not so much for corporates," RBI deputy governor Anand Sinha told a meeting organised by Credit Information Bureau (India) Limited (Cibil).

Noting that banks are using credit bureau information for lending to retail investors, Sinha pointed out that this is less used in case of corporate accounts now.

Sinha asked these bureaux to furnish timely and accurately for greater relevance. "The data should be furnished timely and accurately."

The Reserve Bank deputy governor expressed the hope that going forward, banks would do a better balancing act.