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India-based credit information bureau, Equifax Credit Information Services (ECIS) today said country's largest lender State Bank of India (SBI) will make an investment in the company.
This endeavour gives SBI interest in the bureau as well as a membership in its board, ECIS said in a statement.
The company, however, did not share the details of the investment.
Credit information companies share data and credit score of users of credit cards and borrowers with banks to help them understand risk and pricing.
Commenting on the investment, SBI Managing Director and Group Executive (National Banking) A Krishna Kumar said: "By providing resources and support to their bureau, we will be able to help lenders better manage risk and therefore give more consumers access to loans and good credit."
"The investment we are making in ECIS will be mutually beneficial for both parties as well as for all lenders and ultimately consumers in India," he added.
ECIS Chairman Shahid Charania said SBI's investment in the company "will bolster the already strong reputation and credibility of ECIS in the India marketplace."
"Together, we can tactically decide how to design products as well as better serve our customers with an inside knowledge and understanding of how to cater to their needs and operations, Charania added.
Equifax Credit Information has over 400 registered members from various banks, NBFCs and MFIs. It is a joint venture between Equifax Inc of the US and seven domestic financial institutions.
Besides SBI, existing partners are Bank of Baroda, Union Bank of India, Bank of India, Kotak Mahindra Prime, Religare Finvest, and Sundaram Finance.