Credit bureau starts Cibil Detect in association with TransUnion Cibil Detect will be a comprehensive, up-to-date, centralised point of reference on the high-risk incidents in the credit sector
THE escape route for financial fraudsters is getting tougher. Credit Information Bureau (India) or Cibil and TransUnion is keeping track of all your suspected activities and even keeping a record of it.
The two institutions are preparing a database of reported fraudulent and suspect activities. Cibil is India's first credit information bureau, while TransUnion is a global player in credit information and information management services.
Cibil Detect is first of its kind repository in India on frauds, cases of misuse or attempted misuse of data and suspected or high-risk cases that are under investigation in banks and financial institutions.
The database will help address the industry's concerns at a time when lending institutions are facing an increase in write-offs and bad loans, many of which can be attributed to fraudulent activities.
Cibil Detect also contains valuable information on high-risk vendors and agents. This repository will be a comprehensive, up-todate, centralised point of reference on the high-risk incidents in the credit sector for India. It will also keep track of the modus operandi of individuals who have committed banking related frauds in the past.
Cibil managing director, Arun Thukral, said, "Banks and financial institutions have been reporting rising cases of frauds and spurious incidences. Realising the urgent requirement of an industry-wide system for fraud control, the Indian Banks' Association (IBA) entrusted Cibil and TransUnion to develop a repository of information on spurious activities that will not only capture the methods used to commit fraud, but can also indicate whether the person or organisation was a victim of fraud or was involved in it."
K Unnikrishnan, deputy chief executive of IBA, said, "An increasing number of frauds in banks in recent years is a matter of great concern. Anywhere, anytime banking facilities make it easier for fraudsters to remain faceless and siphon funds out of the system much faster than ever."
He added, "As fraudsters move from one bank to another to avoid detection, we thought of creating a database on frauds to serve as due diligence tool for banks before establishing business relationship with new customers. As more and more banks start reporting fraud data to Cibil, the database will become larger and more useful to the banking system."
