2 Mar'17
What is a Credit Information Report (CIR)?
A Credit Information Report or CIR contains details of your credit history, as collated by a credit information company. Whenever you apply for a loan, the lender contacts a credit bureau to check your credit background. This gives them details such as whether you have paid earlier dues on time. This information is reflective of your monthly payments and how you manage your credit. This is part of your overall credit history and will reflect in your CIR. These factors are also responsible for your credit score.
Your credit score acts as a gateway for credit institutions to determine how likely you are to pay back a loan based on past patterns of credit usage and loan repayment behavior.
A CIR can also be used by you to check your loan eligibility.
What are the factors that affect my credit score?
The credit bureaus in India use data from all lending institutions to arrive at your credit score. Specifically,
- Information related to types and amount of credit product held by you, the borrower
- Payment behavior on these credit products
- Credit utilization
- Amount of time for which the borrower has serviced these credit payments
- Number of inquiries made for new credit products
Free Report
As per the central bank (RBI) guidelines, all credit bureaus in the country are mandatorily required to provide one full credit report on demand and without any charges. As there are 4 credit bureaus, one can request for 4 free reports in a year, one from each bureau.
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