Saddled with the cost of financing for the huge non-performing assets on their books, Indian banks have started selling their stake in Credit Information Bureau of India (Cibil) which tracks the credit record of bank customers.
State-run Central Bank of India on Thursday sold its five per cent stake in the company for which it was the initial sponsor to Transunion International Inc of the US for an undisclosed amount.
On Wednesday, Punjab National Bank had also sold its 5 per cent stake to the US firm. With this, Tranunion’s stake in Cibil has gone up to around 37.5 per cent from 27.5 per cent.
- The Royal Opera House Reopens After Decades Of Neglect: Here’s A Quick Tour
- Tata Sons Rubbishes Cyrus Mistry’s Allegations: Here’s What Happened
- Pakistan High Commissioner denies allegations leveled on his staffer for espionage activities
- Odisha: Villagers Refuse To Cremate Dalit Woman’s Body
- Here’s What Farhan Akhtar Said On Karan Johar-MNS ‘Deal’ Over Ae Dil Hai Mushkil’s Release
- Government’s Diwali Gift to Central Government Employees, Pensioners
- Bigg Boss 10 26th October Review: This Episode Is All About Fights
- New Zealand Beat India By 19 Runs In Ranchi; Series Levelled At 2-2
- DND Toll-Free: Noida Toll Company Moves Supreme Court Against Allahabad High Court
- British PM Theresa May Says Kashmir Is A Matter For India, Pakistan To Sort Out
- J&K: Students Suffer As Schools Along LOC Forced To Shut Amid Firing
- Jayalalithaa’s Health: AIADMK Women Supporters Continue Special Prayers For CM
- HTC Desire 10 Lifestyle First Look Video
- Fissures Remain Within Samajwadi Party: All You Need To Know
- Big Cheer For Delhi-Noida Commuters, DND Flyway Becomes Toll Free
“Central Bank of India has informed BSE that after due approval, Central Bank of India has sold its entire stake in Credit Information Bureau of India Limited (Cibil) to Transunion International Inc (FII),” the bank said in a BSE filing. Cibil collects and maintains records of an individual’s payments of loans and credit cards. Records are submitted to Cibil by banks and other lenders on a monthly basis. Such information is used to create Credit Information Reports (CIR) and credit scores which are provided to lenders to help evaluate and approve loan applications.
The US firm was planning raise its stake after the government increased the limit for foreign direct investment in credit information companies to 74 per cent from 49 per cent. Cibil is India’s largest credit bureau and commands nearly 90 per cent market share.
Other than these, two others who hold similar stake in Cibil are Bank of Baroda, Bank of India, Union Bank, Citicorp Finance (India), HSBC, Standard Chartered Bank, Indian Overseas Bank and HDFC Ltd. State Bank of India and ICICI Bank hold 10 per cent each, while the rest of 2.5 per cent is with Sundaram Finance Ltd.