Now Reading: How to fix errors in your credit report before a loan rejection
-
01
How to fix errors in your credit report before a loan rejection
How to fix errors in your credit report before a loan rejection
Errors in your credit report, such as duplicate loan entries, incorrect personal details or wrongly reported payments, can lower your credit score, lead to higher interest rates on loans, or even cause…
Errors in your credit report, such as duplicate loan entries, incorrect personal details or wrongly reported payments, can lower your credit score, lead to higher interest rates on loans, or even cause lenders to reject applications entirely. The best response is immediate action: a delay only makes a borrower's financial profile less attractive to lenders.
Consumers have two ways to raise a dispute. They can file a complaint directly with the lender or with the credit bureau, giving specific details and supporting documents. Alternatively, they can use the bureau's online portal, CIBIL offers such a service, by logging in, describing the error, attaching proof, and submitting the form.
Once filed, the bureau asks the lender to verify the information. After the lender responds, the bureau updates the report and generates a fresh credit score. If the consumer is still unsatisfied after the bureau's resolution, they can contact the lender directly or file a fresh dispute for re-verification. A credit report cannot be changed without the lender's confirmation.
Indian Opinion Analysis
India has four credit bureaus, CIBIL, Experian, Equifax and CRIF High Mark, and a consumer can raise a dispute with any of them individually. The Reserve Bank of India mandates that bureaus resolve disputes within 30 days of receiving a complaint. Lenders are also required to update account data with bureaus every 30 to 45 days, which means a delay by the bank, not the borrower, can cause outdated reports. If a dispute remains unresolved after 45 days, the consumer can escalate to the RBI's Banking Ombudsman. The immediate practical step is to check whether the error is on all four reports or just one, because fixing a single bureau will not automatically correct the others. Consumers can get one free credit report each year from every bureau.
Source: livemint.com
This story was synthesised by AI from the source linked above.
