cibil-credit-score

Retail Credit Quality Firm + Stress in SME – CIBIL

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Mr. Satish Pillai, Chief Operating Officer, CIBIL interacted with Analysts and here is an excerpt from the same.

Retail Consumer / Citizens Loan / Credit Status
The Retail asset quality has been intact over the past one‐two years in vintage portfolios across all retail products (barring auto loans) and delinquencies are at low levels. Within auto loans, delinquencies are higher than normal in some segments for a few banks, but across‐the‐board deterioration is absent.

Why is the Retail Asset Quality Strong ?
Banks have changed sourcing strategy shifting from self employed

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Citicard – Payment Defaulted, Account Blocked, then Regularized – Impact on CIBIL Score

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Default Payment on Citicard - Later RegularisedIt is not uncommon for the Indian Youth to opt for a Credit Card as soon as they join the workforce and without realizing the consequences they head towards debt trap. Here is a Case which CardBhai’s Team Counseled and with Prior Written Permission of the Client we are publishing his Case Study so that this will help other Credit Card Borrowers / Defaulters understand the impact on Credit Scores.

Raj had a Citibank Credit Card account opened in May-2006. He made regular payments until Oct-2006 and then began to delay which immediately starts getting reflected in his CIBIL Credit Report. He tried his best to regularize his payments but on and off and was negotiating with the bank’s call center executives already for EMIs etc. However, matter became worse and in Aug-07 and Citibank finally decided to BLOCK the Card A/C. Summary of his First leg of Transactions and Payments as reflected in CIBIL Credit Report is Shown below.

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How is CIBIL Transuinion Credit Score Calculated for Indian Consumers ?

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CIBIL is the Largest Credit Bureau in India as on date. In association with Transunion, they’ve been providing CIBIL Transunion Scores to consumers directly since Q2, 2012. Since 2008-09, CIBIL Scores were provided only to financial institutions to help evaluate the consumer. Many of you asked us – How CIBIL Score is Calculated and the Methodology for the same? [We had to touch base with several leading Banks, CIBIL and Institutional Finance experts to answer your question]

If you don’t know what a CIBIL Transunion Score is, kindly read the same here.

How is CIBIL Transunion Score Calculated ?
There are various factors which influence the score such as payment history, outstanding debt, length of credit history, number and types of loan accounts, utilization, applications for new credit etc. However, it is important to note that each member i.e. Banks, NBFCs etc (that chooses to use the CIBIL Score) has

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What is CIBIL Transunion Score ? Explained

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Over the past few years, CIBIL has substantially increased its member base as well as borrower base. The members are banks, NBFCs and housing finance companies who provide borrower data to CIBIL. CIBIL now has 800 members with a database of 135m borrowers and 230 individual consumer loan accounts [20% of Indian Population] We’d like to explain in-depth about what CIBIL Transunion Score is and how is it calculated.

What is CIBIL Transunion Score ?
CIBIL score is an objective numeric summary of the credit report generated on an individual. It takes a “snapshot” of a consumer’s CIR (Credit information report) and with the use of advanced analytics moulds the information into a 3 digit number representing the probability that a consumer will default on a credit facility over the next 12 months. The possible score ranges between 300-900.

Sample CIBIL Score is as Shown in the Report Below

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