The RBI has set no minimum credit score that a borrower must reach to get a loan sanctioned. Many borrowers still believe that a score of 750 is required.
The RBI had issued its Master Directions on 6 January 2025, and these ask credit institutions to evaluate the applications of first-time borrowers without bias. As per the press reports on the Direction, an individual who is applying for the first time should not be rejected solely for lacking a credit history.
Many first-time borrowers, such as young employees and homemakers, are still asking lenders whether the absence of a score will count against them. The rule details given here come from press reports that cite the Direction.
What lenders look at when there is no score
Banks and other lenders are required to look at the credit informations report of an applicant, including the score, wherever such a report exists. However, the final lending decision will follow the internal policies of each institution and its commercial judgement.
For a first-time borrower, this means the lender will look at other details of the application. Income and repayment capacity are still assessed, and banks continue with their due diligence, including a review of repayment history where it is available.
In August 2025, the Ministry of Finance told Parliament that a CIBIL score is only one of several factors that a bank may weigh before lending. Many families applying for a first loan are now reading this statement closely, since it describes the score as a part of the assessment and not the whole of it.
Where the credit report comes from
Four credit information companies authorised by RBI operate in India: TransUnion CIBIL, Equifax, Experian and CRIF High Mark. A borrower with no history at one of them may still have a record at another.
Lenders are required to alert a customer by SMS or email each time that customer's credit report is accessed. A credit information company may charge an individual up to Rs 100 for providing the person's own report, a cap set by the RBI.
As per the RBI Credit Information Reporting Directions 2025, each credit information company must give one free full credit report, score included, once in each calendar year to an individual who has a credit history with it. The reports on these rules cite the Direction and the circular.
A Moneylife report said credit data is updated every fortnight. RBI rules made fortnightly reporting compulsory from 1 January 2025, and from 1 July 2026 reporting moves to four fixed dates a month, the 9th, 16th, 23rd and last day. The final call on any application rests with the board-approved policy of each lender.
