Credit Information Bureau (India) Ltd (CIBIL) launched CIBIL iScan to provide banks with comprehensive details of corporate’s credit history spread across all financial and credit institutions. CIBIL iScan is a path breaking solution for the Indian market that leverages CIBIL’s vast repository of commercial credit information to provide financial institutions with insights on their current account applicants.
CIBIL iScan is aimed at helping financial institutions in reducing the risk and time taken in opening of current accounts by providing them a concise view of all the credit relationships the entity has across other financial institutions.”
The Indian Banks’ Association (IBA) had recommended the creation and usage of CIBIL iScan to help prevent increase in stressed assets and establish best practices for building a strong system for risk mitigation and fraud control. This will help the banks in ensuring that current accounts are not opened with outside banks other than the one with which they have borrowing arrangement.
This solution will prove to be a deterrent for those corporate borrowers with stressed accounts, which open/maintain current accounts to siphon off revenues and circumvent the original borrowing arrangement. CIBIL iScan provides financial institutions with comprehensive details of customer’s credit history spread across all banks and credit institutions. CIBIL iScan helps get precise information on all the banks and Financial Institutions from whom the NOC would be required.