RBI issues draft guidelines for weekly credit score updates: How will this impact you?

When evaluating credit card and loan applications, banks and NBFCs consider various factors, including the applicant’s credit score, income, age, work experience, and other relevant details. The applicant’s credit score is an important eligibility criterion. Banks usually consider a credit score of 750 or above as favourable for approving credit card and loan applications. In such a scenario, a timely update of the credit score and report by credit information companies (CICs) is important.

In this regard, on 29th September 2025, the RBI made an important announcement. In this article, we will examine how credit scores will be updated every week and what will be its implications for both banks and their customers.

Draft directions for the weekly update of the credit score

On 29th September 2025, the RBI released the Reserve Bank of India (Credit Information Reporting) (1st Amendment) Directions, 2025 – Draft. According to the draft directions, Credit Information Companies (CICs), such as CRIF High Mark, shall keep the credit information they collect and maintain updated regularly on a weekly basis.

The CICs will need to keep the credit score and report of individuals updated as on the 7th, 14th, 21st, 28th and last date of the respective month. The CICs can keep the credit information updated at shorter intervals than a week, as mutually agreed upon between the credit institutions (banks and NBFCs) and CICs.

How will the process work?

The banks shall submit the full file containing credit information records as at the last day of the month to the CICs, by the 3rd day of the next month. For example, the bank shall submit the credit information records as at 31st October 2025 to the CICs by 3rd November 2025. The full file shall include all active accounts in the books of the banks and the accounts where the relationship between the borrower and the banks has ended since the last reporting cycle.

For weekly submissions during the month (credit information records as on 7th, 14th, 21st, and 28th), the banks shall furnish only the incremental data to the CICs. The incremental data shall include the following details:

1. Accounts opened since the last reporting cycle
2. Accounts wherein the relationship between the borrower and the bank has ended since the last reporting cycle
3. Accounts where there is a change because of any action initiated by the borrower (repayment instance, change in demographic details, guarantor, etc.)
4. Accounts where there is an asset classification change (for example, Special Mention Account (SMA) – 0 to SMA – 1, SMA – 2 to substandard, etc.)

The banks shall submit the above incremental data to the CICs within 2 days from the dates mentioned above. For example, the incremental data as on the 7th shall be submitted by the 9th, the incremental data as on the 14th shall be submitted by the 16th, and so on.

If any bank fails to adhere to the data submission timelines, the CICs shall report this on the DAKSH portal to the Department of Supervision (RBI). The report must be submitted on half-yearly intervals, as on 31st March and 30th September.

Implementation date: The draft mentions that the directions shall come into force from 1st April 2026.

How will faster updates of credit information help?

As of today, the CICs update the customer credit information on a fortnightly basis. However, as per RBI directions, from April 2026, the updates will shift to a weekly basis from the current fortnightly basis. The weekly updates will benefit both banks and borrowers.

Borrowers: When a borrower’s credit information is updated weekly instead of the current fortnightly basis, it can help them get the desired credit card. For example, if a borrower’s credit score has improved since the last update, it will be reflected more quickly. Based on the improved credit score, they can apply for the desired credit card and get it, provided they meet the other eligibility criteria.

Similarly, a borrower can obtain a loan with better terms as some banks now link the loan interest rates to the borrower’s credit score. For example, if a borrower’s credit score has improved since the last update, it will be reflected more quickly. Based on the improved credit score, they can apply for the desired loan and get it at a lower interest rate, provided they meet the other eligibility criteria.

Banks: When the credit information is updated weekly instead of the current fortnightly basis, banks will have the latest data to work with. While doing the credit underwriting for loans, banks will have faster access to the borrower’s latest credit score and report. It will help the bank price the risk more accurately and decide whether to approve or reject the loan application. If the bank decides to approve the loan, the latest credit information will help it decide the loan terms. The loan terms can include the interest rate, loan amount, loan tenure, and other relevant details.

A faster update of credit information is a step in the right direction

The RBI’s decision to ask banks and CICs to update credit information weekly from the current fortnightly basis will help banks as well as borrowers. With the latest credit information, banks will benefit from improved credit underwriting, and borrowers will have better access to credit products with better terms. Thus, it is a win-win for banks and customers. Once the weekly update to credit information is implemented, it remains to be seen whether the RBI’s next move will be daily updates or real-time updates.

Gopal Gidwani is a freelance personal finance content writer with 15+ years of experience. He can be reached on LinkedIn.

For all personal finance updates, visit here.

Disclaimer: Mint has a tie-up with fintechs for providing credit; you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards, and credit scores. Mint does not promote or encourage taking credit, as it comes with a set of risks, such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.