How to Fix Errors on Your CIBIL Report

CIBIL is a well-known organization that gathers and disseminates credit ratings and reports for both individuals and businesses. A CIBIL score is derived from a credit report and goes from 300 to 900, with 900 being the highest.

The financial market is now more regulated than it was previously, thanks to CIBIL! Maintaining a strong credit history is really important nowadays. One of the most essential aspects that banks and financial institutions assess in the qualifying requirements of a loan application procedure is your credit information report. It goes without saying that a higher CIBIL score means you’ll have a better chance of getting your loan approved.

But, although we’re talking about improving your credit score and your financial situation, don’t forget that mistakes do happen. When dealing with a large database (such as CIBIL), making a mistake may seem inevitable. A little error in a CIBIL report could go overlooked, resulting in your loan application being rejected, among other problems.

According to anecdotal evidence, one out of every four CIBIL reports is likely to be incorrect, lowering the applicant’s credit score significantly. Even if you have always been a good citizen, an inaccuracy in your CIBIL report could result in you being listed as a loan defaulter. As a result, it’s critical that we address these errors before they have an impact on our financial planning.

So, here’s a detailed process and step-by-step guidance for identifying and correcting errors in your CIBIL report.

Examine Your CIBIL Report for Possible Errors:

The first step in ensuring your CIBIL score is error-free is to keep a close eye on your CIBIL report. You can examine your CIBIL report by downloading it online (from the official website) or requesting a copy from your bank. To keep your CIBIL score correct, repeat this practice once or twice a year.

Error Reporting:

In general, we can divide errors in a CIBIL report into two categories:

Basic Personal Information Errors at the Data Submission Stage

Essentially, this is a blunder on the part of your lender. These little errors occur as a result of incorrectly submitted basic and personal information. Such typographical errors may result in errors in your personal information, such as your name, address, contact information, gender, and identity documents, such as your PAN Card, passport, and Aadhaar Card, among other submission details.

You might also discover inconsistencies in your bank account number, most recent balance, credit behavior, most recent settlement status, asset classification, or even reporting delays from your lender. Other inconsistencies could be due to ‘numbering errors,’ such as payment data where a 100,000 payment is reported as 10,000. (with a missing zero).

Errors in the Aggregation Stage: Who Owns the Data?

Errors on a CIBIL report can also be ownership-related, which means mistakes that aren’t caused directly or indirectly by your blunders. Banks are usually obligated to update credit reports once a day, and with millions of data fields to handle each day, this is a monumental undertaking. As a result, data is frequently mixed up. For example, someone with a name similar to yours may have defaulted on a loan, something you would never consider doing, and the default appears on your CIBIL report! Such conflicts are distressing and should be reported as soon as possible so that they can be resolved.

Now that we’ve gone over the many faults in a CIBIL report, let’s look at ways to correct these inaccuracies and restore your credit history in order to improve your financial situation:

Reporting CIBIL Errors: A Guide

Step 1: Go to the official CIBIL website by clicking here. At the top of the screen, hover over the Dispute Resolution tab.

Step 2: Select the appropriate dispute resolution category from the list below:

Dispute Resolution for Customers

Dispute Resolution at Work

Step 3: Complete the dispute form completely and precisely, noting all of the errors/mistakes you found in your CIBIL report.

Step 4: After you’ve filed your complaint, the credit bureau will handle your dispute with the appropriate lender according to the ‘dispute category.’ The lender’s decision is based on whether your dispute is accepted or rejected. If CIBIL needs to undertake additional research, the lender will be required to provide the bureau with accurate information and it can also help you to improve cibil score.