Credit Information Companies (CICs) are institutions that collect, maintain, and disseminate credit information about borrowers. In India, the Reserve Bank of India (RBI) regulates and supervises the functioning of CICs under the Credit Information Companies (Regulation) Act, 2005.
As per the Act, CICs are required to maintain a database of all credit-related information, such as credit score, credit history, and outstanding loans, of individuals as well as companies. This information is collected from banks, financial institutions, and other credit providers.
Currently, there are four licensed CICs in India:
- Credit Information Bureau (India) Limited (CIBIL)
- Equifax Credit Information Services Private Limited
- Experian Credit Information Company of India Private Limited
- CRIF High Mark Credit Information Services Private Limited
These CICs provide credit scores and credit reports to banks and other credit providers to help them assess the creditworthiness of potential borrowers. They also offer credit monitoring services to individuals and companies to help them manage their credit profiles and improve their credit scores.