RBI New Rules for CIBIL Score: The CIBIL score or the credit score forms a significant part of your financial status. Your eligibility to borrow money and the decision of banks and financial institutions to lend you money are determined by it. Recently, the Reserve Bank of India (RBI) brought in new rules regarding CIBIL score. These changes are going to be applicable from January 1, 2025. The rules have been formed in the customer interest and would surely benefit customers to manage their credit scores better than before.
RBI New Rules for CIBIL Score
Now, the latest update for this rule is that you can get your CIBIL score changed every 15 days. Earlier, it used to come every month. Now it updates itself twice a month-on the 15th and at the month’s end. This extra benefit will allow you to keep your eye on your credit score and take necessary action to better it when times are rough.
Credit report check notification
In case a bank or financial institution checks your credit report, you will be notified. Banks will send an SMS or email. This, indeed, will buy high transparency and keep you posted on when and why your credit report has been viewed.
Reasons for Loan Rejection
According to the new rules, if any of your loans get rejected, then the reason for such rejection would be available to you from the bank. This would tend to be very helpful for the customers as they would understand the reason for rejecting their application. Based on such reasons, they can even improve their credit score and apply successfully for the loan again later.
Free annual credit report:
According to the new rules of RBI, now every year you will get your complete credit report once for free. This report will contain information about all your loans, credit cards, and other financial transactions. This report will help you understand and improve your financial situation.
Warning before default
If you do not pay your loans or credit card dues on time, the banks will now notify you will before the default. It would be better if you would pay the dues as you are informed, as it would also help prevent any damage to your credit score.
Fast-tracked grievance redressal
If you have an issue regarding your credit score, the credit info companies will have to address the problem within 30 days now. In case they do, they will incur a fine. This would fast-track the redressal of complaints against customers.
The new rules of RBI are significant measures to bring about transparency and improvement in CIBIL score. With these rules, your economy would have a facelift and an opportunity to exercise control over your credit score. An excellent credit score does not only qualify you for loans but ensures a bright future regarding your finances. Following all these will add value to your financial life and smoothen your way.
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