You are conscientious user of credit and think that you are
doing everything right to maintain a good credit score. Armed with this
confidence you make an application for a fresh line of credit. But before you
know it, your loan application gets rejected and the lender informs you that
you cannot be given any credit because your name features in the loan defaulters
list.
You are horrified and check your CIBIL report to find that
there have been reporting problems on your CIBIL report. As a result, there are
errors in your CIBIL report. This is what has brought your credit score
crashing down and is responsible for featuring your name in the loan defaulters
list. Errors in the credit report are not uncommon. Anecdotal evidence suggests
that there is likely to be an error in 1 in every 4 reports.
Some of the errors that can severely hamper your chances of
getting a fresh line of credit are as follows:
Inaccurate current balances- This means that the outstanding
amount in a loan has been reported erroneously by the lender.
Ownership issues- This means that the credit lines
attributed to you are factually incorrect and you have not availed of the
credit facilities mentioned in the report.
Duplicate account- Sometimes multiple accounts registered in
CIBIL in your name may result in factual errors.
However, keeping your CIBIL report error free is entirely in
your hands. In fact, if you are keen to know how to improve CIBIL rating, it
may serve you well to know that you can do so by keeping a constant check on
your CIBIL score with proper house loan interest.
If you encounter reporting problems in your CIBIL report here are five ways to
deal with it.
Check your CIBIL report for errors
This is where it all begins. As a user of credit keen to
know how to improve your CIBIL rating, you must keep a hawk eye over your CIBIL
report. This means, checking your CIBIL report regularly for errors. You must
carry out this exercise at least once or twice annually. You can avail of the
facility of checking one free CIBIL score in a year to keep a check on your
credit report.
Reporting errors
If you have come across a reporting problem in your CIBIL
report, do not panic. An error does not mean that you automatically land up in
the loan defaulters list. You need to file a CIBIL dispute at the earliest. A
dispute form is available on the CIBIL website.
[Source: https://www.creditsudhaar.com/blog/2017/05/05/five-hacks-to-deal-with-reporting-problems/]
