Errors In CIBIL Report: Here's How You Can Get It Corrected?

CIBIL report and CIBIL score used by lenders when deciding on your future loan disbursals are a crucial set of information and not just among few other documentation formalities.

Any mistake in the report from your side or from the Credit Information Companies or the bankers end can prove to be really hard on you. Some of the common errors seen may be reporting of an application for a loan, where the actual case may not be so, errors in personal and basic data, errors in loan account type as well as overdues amount and other such errors.

To go about the correction process, you need to do an elaborative study of your credit report at first. And it's a regular process that should be adopted by you in your financial planning exercise. Nonetheless, now you are being offered a free copy of your Credit Report and Score each year by each of the 4 Credit Information Companies. Know more about it here.

1. Initiate Dispute Resolution with CIBIL: In case you witness any error or errors that needs immediate correction, you need to raise the issue with CIBIL . For all the errors, details have to be reported with the CIBIL under dispute resolution, which shall then consult bankers for each of the issue and ask them to provide any new updates in each of the case if it may be.

Your application per se dispute redressal shall be followed by a Service Request no., keep it handy for future reference. In case of validation of the error by the authorities subject to the banker's consent, necessary changes shall be effected in the CIBIL report to remove errors.

2. Approach Concerned Banking Institution or Lender: There can be an instance when you apply for a loan and your banker provides you with a credit report and in that you come across some disputable issues. It is a more common thing when the credit report of the borrowers mentions loan to be written off when it has been paid off fully with no default. In such a case all follow-ups have to be done with the bank with all proofs and NOC, that will serve the purpose and correct errors in due time.

Generally, the resolution takes 30-45 days time from the end of CIBIL, to rectify the errors.

3. Ask the Banking entity for corrective measure: In a case when you have defaulted on a loan payment, ask the bank for corrective measure. Some of the banks settle your loan account with a close for a lower amount. So with a 'Closed' remark for your loan account which was otherwise labeled as written off or settled, your credit score would improve.

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