What changed
The RBI reiterated the requirement under Section 15(1) of the Credit Information Companies (Regulation) Act, 2005, that all credit institutions, including co-operative banks, must become members of at least one Credit Information Company (CIC). It highlighted that a large number of StCBs and DCCBs are not yet members and directed immediate steps to comply.
What it means for you
Co-operative banks (StCBs and CCBs) must immediately take steps to become members of at least one Credit Information Company (CIC) and provide credit data in the required format, as non-compliance with the Act has been noted.
What you must do
- Become a member of at least one Credit Information Company (CIC) as required under the Credit Information Companies (Regulation) Act, 2005.
- Provide credit data in the format required by the CIC.
- Take immediate steps if not already a member, as many banks are non-compliant.
- Acknowledge receipt of the circular to the respective Regional Office of RBI.
Who it affects
State Co-operative Banks (StCBs), Central Co-operative Banks (CCBs) / District Central Co-operative Banks (DCCBs)
What is the purpose of this circular?
To remind StCBs and CCBs of their obligation under the Credit Information Companies (Regulation) Act, 2005, to become members of at least one Credit Information Company (CIC) and provide credit data, as many have not complied.
When was this circular issued?
August 7, 2013.
Who should take action on this circular?
All State Co-operative Banks (StCBs) and Central Co-operative Banks (CCBs), including District Central Co-operative Banks (DCCBs).