The Credit Information Bureau (India) Ltd On Tuesday said it will come up with a risk index which will help banks and financial institutions in the process of granting loans and advances to corporates.
"We will come up with a risk index for the corporate sector. It is something which is in pipeline.
“It is basically a risk management tool which will help banks and financial institutions while sanctioning any loan to the corporate sector," CIBIL Senior Vice President-Consumer Relations and Communications Harshala Chandorkar said in Chandigarh.
Not giving any timeframe about launch of risk index, she said it would be a value added product for banks.
"We make credit reports of the corporate and we have their basic credit information.
“But this (risk index) will be another value added product for banks," she further said.
CIBIL provides credit information about individual customer and business entities that helps banks in taking decision on sanctioning credit to any customer.
It maintains account credit information of 350 million accounts of individual consumers and 19 million accounts of businesses.
Another product called 'Instant Acquisition of Customers' allows NBFCs to take instant decision on giving credit to customer or not by providing instant credit information about him, she said.
Sharing new credit information trends based on CIBIL data, Harshala said that it was the younger generation which was driving the growth of credit as 60 per cent of new credit applications come from those who are below 40 years old.
She said that the top five states -- Maharashtra, Andhra Pradesh, Karnataka, Uttar Pradesh and Tamil Nadu -- contributed to almost 50 per cent of all enquiries for credit.
"We have seen a significant growth in consumers reaching out to us for their own CIBIL Report and from across metros as well as Tier II & III cities.
"We have seen more than 200 per cent growth in the number of consumers accessing their own CIBIL Report and CIBIL TransUnion Score since the time we launched our Consumer Relations operations in 2009.
“This clearly indicates the rising financial awareness in the country," she said.
CIBIL currently has 1,100 banks and financial institutions as members.