Your CIBIL report and maintaining a good credit score also play a very important role in your financial life. That is because the banks check your credit report to decide your eligibility for a loan or a credit card. Even a small mistake in your report like settled loan or an enquiry not made by you but added in your account can affect your credit score. That is why it is very important to make sure that your CIBIL report is free from any errors.
What is a CIBIL Report Dispute?
A CIBIL report dispute is a request that is made by an individual to correct the errors or wrong details mentioned in their credit card report, issued by the TransUnion CIBIL. These mistakes can be related to your personal details, loan account history, payment status and other financial information. These errors generally occur because of incorrect data shared by the banks.
Common Errors Found in CIBIL Reports
Sometimes, people find some unusual errors in their credit reports. These mistakes can appear in different sections of the report and may affect your credit score. Here are some common types of errors that can show up in your CIBIL report:
Incorrect Personal Details
Your name, date of birth or address may be incorrectly mentioned in your credit report. Even a small spelling mistake in your name or a wrong digit in your birth date can create confusion in your credit records.
Unknown Loan or Credit Card Accounts
Sometimes, you may see a loan or credit card listed in your report that you have never applied for. This can happen if your PAN or other personal details get mixed up with someone else’s details.
Duplicate Loan Entries
The same loan may appear twice on your account’s portal or in your report which can make it look like that you have taken more credit than you have actually had.
Wrong EMI or Payment Status
The EMIs that were paid on time may appear delayed or missed sometimes. This can negatively impact your credit score even if you never missed a payment.
Closed Loans Shown as Active or Settled
A loan that was closed completely may be shown as active or marked as “settled.” A “settled” status looks bad to the lenders because it means that the full payment was not made.
Incorrect Outstanding Balance
Your credit report might show a higher outstanding amount than what you actually owe. This thing makes it seem like you have not repaid your loan properly.
Old Contact or Job Information
If you have switched jobs or your phone number has been changed but your report still shows old details, then it means that your report has not been updated properly.
How to Raise a CIBIL Dispute Online
Once you have checked your credit report and identified the mistakes, you can proceed with raising a dispute. The process is simple, free of cost and can be done online by following the steps discussed below:
Log in to myCIBIL
First of all, log in to your myCIBIL account and if you do not have an account already, create one. You can use your email ID and mobile number to create the account. After logging in, you will be able to view your credit report and access the dispute section.
Prepare a List of Errors
After that, you need to go through the report carefully and make a list of all the issues that you want to raise. It could be one or more related to the different parts of your report.
Go to the “Raise a Dispute” Section
You are supposed to scroll to the bottom of the webpage where you will see a link named “Raise a Dispute”, click on it to open the dispute form.
Select the Part of the Dispute
The next step is to choose the part of your credit report that has the issue. You will see these options there:
- Account Section
- Personal Information
- Employment Information
- Credit Application History
- Contact Information
- Other Information
Mention Specific Issue
If an unknown loan appears that you never took, select the option “Account does not belong to me” and add it to the dispute list.
Submit the Dispute
After filling in the required information, click on the “submit” option. You will be provided with a unique dispute ID to track the status of your request and it is advisable to keep that ID safe.
What Happens After You Raise a Dispute
Once you successfully submit your dispute, CIBIL sends it to the bank or financial institution that reported your data. That institution will then verify the claim and respond back to CIBIL. You should keep in mind that CIBIL does not make any changes on its own, it only updates the report based on confirmation from the lender. Typically, this whole process can take around 30 days. Also, you can check the current status of your dispute anytime by simply logging into your CIBIL account. If your dispute is accepted then the corrected report will be updated and you will receive this information via email or SMS.
Things to Remember While Raising a CIBIL Dispute
Now, we will discuss some tips that you can follow to reduce the chances of errors in your report:
- You should check your CIBIL report at least twice a year.
- Make sure that your name, PAN and contact details are always updated with your bank.
- You should regularly check your loan and credit card statements.
- You should immediately report any suspicious activity that you see on your credit report.
Why Is It Important to Check Your Report Regularly?
You should keep an eye on your CIBIL report because it can help you to spot errors like a wrongly marked payment or an unknown loan which can lower your CIBIL score. Thus, by checking your report regularly, you can spot and fix these errors before getting into any serious trouble.
Final Thoughts
It is understandable that mistakes can happen due to technical reasons or human errors but correcting them is your responsibility. That is because your credit report is a reflection of your financial discipline. Moreover, CIBIL has made it easy to raise a dispute online and it is free of any cost. One thing you should not forget is that CIBIL does not make any changes to your account, it depends on the banks to verify it. That is why providing correct information during the dispute and regularly checking your credit report are very important steps. You can protect your credit score and ensure a smooth loan experience in the future by taking action on such issues quickly.
