No dent in credit score during moratorium: Transunion Cibil
Published: Mar 30, 2020
By TIOLCORPLAWS News Service
NEW DELHI, MARCH 30, 2020: THE RBI, last week, released a bazooka by giving relief to all the classes of citizens by granting a 3 month holiday on payment of terms loans. The moratorium was issued with express intention that non-payment for such duration will not effect the credit report of the individuals. Later, the RBI clarified that the moratorium was inclusive of credit card EMI. Today, Transunion Cibil has assured the borrowers that they don't need to worry about the credit score as the data reporting will be in accordance to the RBI moratorium. The direct corollary of this assurance is that the borrowers can take a breather that data reporting for non-payment will not dent their credit score.
The RBI made the announcement as a measure to contain the liquidity panic formed due to lockdown which constrained the service sector to adopt the model of work from home. Transunion Cibil, the biggest among the three Credit Information Companies, gave a statement today that they are working closely with member banks and credit institutions to define the data reporting framework basis after the announcement was made by the RBI Governor so that adverse impact on the CIBIL score of the borrowers can be avoided during the moratorium period. The company in a statement also said that reporting and monitoring daily nuances of consumer behavior trends will yield deep insights for the industry to adjust to policy and lending.
