How to Repair Faulty Credit Report/Score?
Credit report is the summary of your credit history and is formed by Credit Information Bureau of India Private limited (CIBIL) by compiling your personal and credit related information received from various lenders. A lender always checks your credit report before processing your loan application. If there is any error in the report, your application will not be processed further till it is resolved.
So, if you are planning to take a loan, it is advisable that you check your credit report for errors because even a small mistake such as wrong spelling of your name can delay your loan approval process. Or it may lead to rejection in loan. So it is advisable that you verify your credit report before applying for any kind of loan. If you find any error get it corrected as soon as possible.
Before we explain you how you can get your credit report corrected, you first need to understand the possible errors that can occur in your credit card report.
Errors that Can Happen in Your Credit Report
- There is a possibility that your name is mis-spelled or the PAN number mentioned is not yours, or any other personal or employment or account related information is incorrect.
- There is a loan under your name that you never availed.
- The credit report is displaying loan status as written off or settled despite the fact you paid all you loans on time.
- Your day past dues section is showing delayed payments despite the fact that you have made all your payments on time.
Incorrect Loan Balance:
At times, even if you have paid your loan installment in full, your credit report might show a faulty outstanding balance. As the credit bureau collates the information provided to it by the lenders, there is a possibility that your lender has not informed the credit bureau about the repayment that you have made, therefore it is showing incorrect information. Or as the information is updated by the credit bureau in 45 days, if you will check for the info before that, it may not show in your credit report. But even after 45 days, your credit report is not showing the updated information, there is an error.
How to Fix the Credit Score?
For getting your credit report corrected, you will have to get in touch with the credit bureau. But remember that your credit bureau can’t change your credit report on its own. Your lender has to send the approval to the credit bureau to make the changes in your credit report. Therefore, the whole process will take around 30 days to complete.
Process of dispute resolution in your CIBIL report
- You have to fill the dispute resolution form online.
- There are different sections — personal, contact, employment, account and enquiry— made in the dispute resolution process form you will have to fill the dispute under the right section
- You will also be required to give your control number (it is the nine digit number found on the top).
- After you submit your application, the credit bureau will send the information to the bank.
- The bank will verify the information, if the dispute is valid, the lender will send the corrected information to the credit bureau.
- The credit bureau will then update the information in your credit report.
You can also raise a dispute by sending your dispute resolution form to the following address
Credit Information Bureau (India) Ltd, Hoechst House, 6th Floor, 193, Backbay Reclamation, Nariman Point, Mumbai 400 021