Credit Scores in India
How Credit Bureaus Work
Lenders report account data to bureaus each month, and the bureaus compute scores using their own models.
The system behind the score.
Data flow
Banks and NBFCs send loan and card data regularly.
Regulation
The RBI regulates credit information companies under the Credit Information Companies Act, 2005.
Different scores
Each bureau has its own model, so scores can differ.
Consent
Lenders need your permission to check your report.
Two scores
A person's score can differ by some points between two bureaus.
Assuming all bureaus give identical scores
Models differ.
Key takeaways
- Lenders report to bureaus.
- The RBI regulates them.
- Models differ.
- Consent is needed.
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