CIBIL Errors and How To Correct Them

Your CIBIL report is a detailed record of all lending products that recognised lenders have sanctioned in your name. This report determines the CIBIL score, indicating your creditworthiness. Identifying and correcting errors in your report is crucial. Neglecting this could lower your CIBIL score and impact future loan or credit card approvals. This article outlines the common errors you can find in your CIBIL report and provides a step-by-step guide for correcting them.

The kinds of errors you can find in your CIBIL report are:

• Incorrect Personal Information: 

Sometimes, your CIBIL report may include an incorrectly spelt name or PAN information. It is also possible that it does not reflect your accurate permanent address, age, or date of birth. To correct the errors, initiate a dispute through the CIBIL website. Fill out the online dispute form and submit it to CIBIL. Ensure you provide accurate details and the right control number of your report.

• Incorrect Overdue Amount/Credit Utilisation: 

At times, the amount that you owe may be lower than what your CIBIL report reflects. That may be the case because the lender has not shared the updated information with CIBIL. This must be looked into promptly as well. Verify the outstanding balance against your records to assess whether there is a discrepancy in the report. If you find an error, immediately report the issue by submitting a complaint on the CIBIL platform.

• Duplication of Accounts: 

Sometimes, CIBIL prints the same loan/credit account more than once, which increases the number of your active accounts. A higher number of active accounts can reduce your CIBIL score and negatively impact your credit eligibility. Hence, this issue must be resolved as soon as possible. Raise a dispute specifying the duplicated accounts to have them corrected through the CIBIL website.

• Unrecognisable Account: 

It is possible that CIBIL may make a mistake and add a loan account that does not belong to you, or you may have become a victim of identity theft. In case of identity theft, any credit default caused by the perpetrator will significantly reduce your CIBIL score and creditworthiness. Contact your lender and verify the details of the suspicious account visible on your report. If you suspect identity theft, immediately raise a complaint to the CIBIL authorities by reaching out to their customer service team via their website.

• Incorrect Reporting of Active Accounts:

 Sometimes, a loan that you prepaid/foreclosed months ago may still show as active in your CIBIL report. This could happen if the concerned lender has not updated CIBIL about the same. Remember that the lower the number of your active loan accounts, the higher your CIBIL score. Hence, it is always important to look for such inconsistencies. Be sure to submit a dispute regarding any accounts that should be marked as closed but are still active in your report. You may be required to furnish proof like the no objection certificate (NOC) from your lender and loan statement. Meanwhile, check with your lenders to ensure that your account has been closed and that you have no dues left. 

The steps you must follow to correct the mistakes in your CIBIL report are:

• To initiate the CIBIL correction online process, download your CIBIL report. Note that you can only do this for free once a year or if you have a paid subscription plan from CIBIL.
  

• Spot the 9-digit control number and then identify the problem area of your CIBIL report
  

• Fill out an official online dispute form that you will find on the CIBIL website. Here, you must mention your personal details and the details of the error in addition to the control number. Post that, click on ‘Submit’ to proceed.
  

• Wait for CIBIL to get back to you with an update

 

Note that it could take up to 30 days for your CIBIL report correction to be made. Once the error is fixed, the updated CIBIL report will be mailed to you. Additionally, you must remember that the errors will only be rectified if the lending institution authenticates your dispute. To build your case, you can always submit the necessary proof while filling out the application form to support your claim.