How to Get CIBIL Score Corrected: A Step-by-Step Guide

Your CIBIL score is an essential aspect of your financial profile. It determines your creditworthiness and significantly impacts your ability to secure loans or credit cards.

However, what happens if there's an error in your CIBIL report? Mistakes such as incorrect personal details, outdated loan information, or wrongly attributed defaults can occur.

These errors can lower your score and make borrowing more difficult. This blog will guide you on how to correct your CIBIL score, file a CIBIL score complaint, and how to clear CIBIL problems effectively.

Understanding Your CIBIL Score

Before diving into the correction process, it's essential to understand what a CIBIL score is and why it matters. Your CIBIL score is a three-digit number ranging from 300 to 900, representing your creditworthiness. A higher score indicates that you are a responsible borrower, making lenders more likely to approve your loan applications.

Errors in your CIBIL report can negatively impact your score, leading to unnecessary rejections. Therefore, addressing any discrepancies as soon as you identify them is crucial.

Also Read: Difference Between CIBIL Score and CIBIL Report

Common CIBIL Problems That Require Correction

Here are some common issues that might require you to take action:

1. Incorrect Personal Details: Errors in your name, address, or PAN card number.
2. Outdated Loan Information: Closed loans are still showing as active.
3. Wrong Defaults: Loans or credit cards are marked as defaulted even if you have paid on time.
4. Duplicate Accounts: The same loan or credit card appears multiple times in your report.
5. Fraudulent Accounts: Loans or credit cards opened in your name without your knowledge.

How to Correct CIBIL Score?

If you identify errors in your CIBIL report, follow these steps to correct them:

1. Get Your CIBIL Report

The first step is to access your CIBIL report. You can obtain your report by paying a small fee or through platforms offering free reports periodically. Review the report carefully to identify any errors.

2. Identify the Errors

Once you have your report, go through each section to spot inaccuracies. Note down the specific issues, such as incorrect loan amounts, payment history, or personal details.

3. Raise a Dispute

You need to raise a CIBIL score complaint to correct errors in your report. Here's how you can do it:

1. Log in to the official CIBIL portal; create an account if you don't already have one.
2. Find the section dedicated to resolving disputes or correcting errors.
3. Fill out the dispute form with details about the error, including the specific account or transaction. Attach supporting documents, if available.

Once submitted, CIBIL will forward your complaint to the respective lender for verification.

4. Follow Up with Lenders

After raising a dispute, it's a good idea to follow up with the concerned lender. They will need to verify the claim and update their records before CIBIL can correct your score.

5. Wait for Resolution

CIBIL typically takes 30-45 days to resolve disputes. During this time, they will coordinate with the lender and update your report once the issue is confirmed and rectified.

6. Check the Updated Report

Once the dispute is resolved, download your updated CIBIL report to ensure the corrections have been made. If the issue persists, you may need to escalate the complaint or seek professional assistance.

Tips on How to Clear CIBIL Problems Quickly

Correcting errors in your CIBIL report can take time, but there are ways to expedite the process and improve your score:

1. Pay Off Dues: Ensure all outstanding loans and credit card balances are paid on time. Even small delays can lower your score.
2. Keep Credit Utilisation Low: Avoid maxing out your credit cards. Aim to use less than 30% of your total credit limit.
3. Avoid Multiple Loan Applications: Excess loan inquiries can have a negative impact on your score. Apply for credit only when necessary.
4. Regularly Monitor Your Report: Check your CIBIL report periodically to ensure it's accurate and up to date.
5. Maintain a Healthy Credit Mix: Having a mix of secured (home or car loans) and unsecured (personal loans or credit cards) credit can positively impact your score.

Does Correcting Errors Improve Your CIBIL Score?

Yes, correcting errors in your CIBIL report can improve your score. For example.

1. Removing a defaulted loan will boost your score if it is wrongly attributed to you.
2. Updating closed loans as "settled" or "closed" can positively impact your creditworthiness.
3. Correcting duplicate or fraudulent accounts ensures a more accurate financial health assessment.

Challenges in Resolving CIBIL Issues

While the process to correct CIBIL score errors is straightforward, you might face some challenges:

1. Lenders may take time to verify and update their records.
2. Providing insufficient proof can delay the resolution process.
3. Issues involving multiple accounts or transactions can be harder to resolve.

To overcome these challenges, ensure you provide complete and accurate details in your dispute form and follow up diligently.

When to Seek Professional Help

If you are unable to resolve your CIBIL problems on your own, consider seeking professional assistance. Credit repair agencies can help you navigate the dispute process, communicate with lenders, and ensure timely resolution.

Final Word

Errors in your CIBIL report can significantly impact your financial opportunities. You can ensure your credit report accurately reflects your financial behaviour by understanding how to correct your CIBIL score, raising a CIBIL score complaint, and knowing how to clear CIBIL problems. Regularly monitoring your report and addressing discrepancies promptly will help you maintain a healthy credit score and improve your chances of securing loans and credit in the future.