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How mistakes on your Credit Report can be devastating?

08-Aug-2018 written by : FSI-Team

Credit Report can be devastating?

Mistakes only make you human. There are a lot of mistakes in our life which we make intestinally or unintentionally and that’s who we are. But what if, you suffer for someone else’s mistake. You must have encountered such a situation at some point in your life.


What if we tell you, this can happen on your public records as well? How many times have you applied for a government document and you got your name wrongly printed. After all, there are humans working in these offices and mistakes are bound to happen.

The same goes with cibil records as well. Have you ever pulled out your free credit report and got surprised that there are false records on them?

Imagine you making all your payments on time and feeling proud about your financial integrity. There is an emergency and getting a loan is the only option. You go to the bank apply for a personal loan and are confident that the loan will come through without any hassle. Instead of money getting credited to your account, you get a call from the bank stating your loan is been denied and the reason being a bad credit score.

How did you end up having a bad credit score? Today we will sight you some errors n your credit report which can be on your report despite of no mistake of yours,

Personal details

As we know that our credit records are stored by credit bureaus and are produced by them whenever the bank or lender asks for it. Many a times, the bureaus make mistake while taking your details from government proofs like, PAN card, adhaar card etc. Because of such mistakes you can be identified as a different person by prospective lenders and your loan can be denied.

Incomplete information by the lenders

The money lenders must send information on your payment patterns every month as long as your loan or a credit card is open. In some instances, the bank does not send out information to the credit bureau and your financial transaction does not get registered on your report. This results to errors on your cibil report. Because of such incomplete information sent by the lender, you may be blacklisted by the bureau which can lead to a serious credit score dip.

Pre-closure of loan no recorded

When you apply for a loan or a credit card, every detail is sent to the credit bureau. The information includes your loan amount, tenure, rate of interest, etc. If you pre-close your loan before time, the credit bureau has to be notified so that they can record this transaction. Many times banks and credit card lenders do not send this information leading to wrong record registration every month. The credit bureau may consider your loan being active as long as the creditors do not send this information.

Fraudulent loan enquiries

Every inquiry you make whenever you apply for a loan or a credit card it is considered to be a hard inquiry on your report. There are many fraudulent companies in the market who would offer you credit cards or loans at a cheaper price and if you permit them, they will make a hard inquiry on the report. This can lead to identity theft, which can damage your cibil score. The identity thief can use your details for getting a loan on your name.

These are the obvious reasons why your credit report can be having errors which are not your fault. You can still amend these mistakes by getting in touch with the bureau and raising a dispute. This may take some time but eventually you can get your score rectified. At least it is better than getting loans for bad credit with high interest rates.

Mistakes on your report can be devastating, but the situation becomes even worse when it is not your fault.


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