How to Correct CIBIL Report Errors?

You must be aware of the fact that your credit score plays a vital role in getting you a loan from banks at considerable rate of interest. Your credit report from CIBIL defines your credit worthiness. In other words, this 3 digit score conveys whether you will be able to repay the loan amount on time or not. However, many times the loan application gets rejected even after having good financial history. Among the many reasons of rejection of loan application by banks is discrepancy or errors in your credit report. It might be wrong personal details, lack of updated information or mixing up of information. In case of incorrect credit report you don't need to panic. You can get those mistakes corrected by CIBIL easily.

Before we discuss how the rectification process of CIBIL report works, let’s understand why these errors occur. Banks and other money-lenders submit information to CIBIL and they collate all those information into a single credit report under your name and other personal details. There are chances that due to human error, incorrect or wrong information is submitted to CIBIL. 

Usually, the following types of errors have been found in the report.

Incorrect personal details like name, date of birth, address, gender, contact information, passport/voter ID information, pin code, etc. Even in case of misspelled name, one should get that corrected as soon as possible. For example, if a name Ayesha Thakur has been misspelled as Aisha Thakur; and someone named Aisha Thakur lends money but is unable to repay, it might affect your report as well. To avoid any such mistakes, make sure that you check all the information that you submit while applying for the loan. In case any changes, update your loan provider about the same.

Incorrect balance or amount overdue that implies that you have more debt that the actual overdue amount. And that you are unable to service your existing loan obligations. This can be viewed negatively by bank and money-lenders and thus, affect your chances of getting a loan at optimum interest rates.

Ownership of unknown debts, such as credit cards, loans or other debt instruments, that were not sought by you. This might be a case of identity theft and one should inform about this ASAP.

How to Correct Errors in CIBIL Report?

Once you find any error in the report, don’t panic. Rectifying errors in your CIBIL report is an easy process. All you have to do is follow these steps:

1. Fill in the CIBIL Online Dispute Resolution Form available at https://www.cibil.com/dispute/. If you are CIBIL member, then you can login to your MYCIBIL account to raise an online dispute.
2. Enter all your personal details accurately in the form. One more information called "Control Number" is to be filled in. This Control Number is a unique 9 digit number found on the right side of your CIBIL report.
3. Once you submit these details, a Dispute ID will be sent to your email ID which will be used for future references. 
4. After the submission of the dispute form, CIBIL will verify the data with the bank or the financial institution. 
5. In case the loan provider confirms about any error, then it will provide CIBIL with the correct data and it is the duty of CIBIL to share an updated report with you.

This process might take up to 30 days. Updates via emails will be sent by CIBIL on your registered email ID. Remember that CIBIL will make any changes in the report only after the custodian of information received from the loan lenders.

Regularly Check Your Credit Report for Last Minute Disputes

It is always recommended to check your credit report even if you don’t require any loan. This is because you can check for any errors (if any) and get them corrected on time. This way, in case of financial emergency, you can get loan easily.

How can I see my credit track record in CIBIL?

The 3 digit numeric summary of the entire credit history of a person is known as the credit score or CIBIL score in India. The credit score is calculated based on the information recorded in a person’s Credit Information Report and ranges normally between 300 and 900.

Why it is important to know your CIBIL score?

A person’s CIBIL score plays a major role in the application and approval procedure of all types of loans. If your CIBIL score is not satisfactory, you will not be considered eligible for most loans. Once you fill out and submit your loan application form, the bank will first look at your credit score and credit report. If your credit history is not good and you have a low credit score then the bank can reject your application outright. The higher the CIBIL score, the better are your chances of getting a loan approval. However, CIBIL as an institution does not play any role in the approval of your loan as the authority to make this decision lies solely with the bank.

What can affect your CIBIL score?

• Making late payments on credit cards or delaying/defaulting EMIs on a regular basis can have a negative impact on your credit score as it indicates that you are not serious about clearing your existing debts

• Increased credit limit on your current credit card can also have a negative impact on your CIBIL score because it is considered as an enhancement of your repayment burden. However, if you spend more on your credit card it does not impact your score as long as you spend within the credit limit

• High percentage of unsecured loans like personal loans and credit cards can affect your credit score in a negative manner

• Multiple loans and credit cards and new accounts also negatively impact your CIBIL score and banks will tend to review your loan application more minutely

How you can find your CIBIL score?

It is possible to check your CIBIL score online. On the official website of CIBIL you can get an online score request form which you need to fill out and submit. The entire process is quite convenient and easy and takes only a few minutes and a nominal fee. The online form will require your personal details like name, date of birth, phone number, address, income, identity proof and address proof. 

Once you fill out these details and click on submit, you will be taken to a page where there is an option to make payment. The fee for a credit report is Rs. 470 and you can make the payment either with your credit card, debit card or through net banking. After making the payment, you will be required to submit a few authentication details. Once the authentication is completed successfully, you will get your CIBIL score within 24 hours through email. As you can see it is a simple process and you can repeat it every few days and doing so is advisable because if you find that your score is low, you can take steps to improve it. 

People who are not very internet savvy or do not have access to the internet, have the option of sending a printed application to CIBIL along with a CIBIL transaction ID and copies of your ID and address proofs. When they receive this application, CIBIL will verify it and send you a printed copy of your credit report to the address mentioned in your address proof. It is also recommended that you obtain your credit score and report personally rather than going through a financial institution because enquiries from banks and other lenders can also have a negative impact on your credit score.