Lack of clarity haunts RBI's credit database that eyes a transformation - Kalpana’s interview with Business Standard

It remains unclear how exactly will the PCR function, who will get access to the data, and where will credit bureaus go if their monopoly over individuals' credit data is diluted?

The country’s credit information industry will be transformed when the Reserve Bank of India’s Public Credit Registry (PCR) becomes operational. But the lack of clarity around the soon-to-be-launched credit database has left credit bureaus worried about whether they would still be relevant. The RBI has provided licenses to four credit information companies (CICs), namely TransUnion CIBIL, CRIF High Mark, Equifax, and Experian.

"The only unfortunate part is that in the PCR document, the inputs of CICs haven't been taken in full," said Kalpana Pandey, CEO, CRIF High Mark."Now we are discussing the implementation of the PCR with the RBI. The PCR is already talking about many data elements but there's a lack of clarity on how this data will be used."

Pandey from CRIF High Mark added that business models of credit information bureaus were also up for renewal if the PCR didn't address the key concerns satisfactorily."Obviously, the business model will also evolve and we'll need to bring more innovations," she said.

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Original Source: Business Standard-  July 27, 2018, | Edition: New Delhi/Mumbai