How can I get the discrepancy in my Cibil score rectified?

I recently found my Cibil (Credit Information Bureau-India) score was much lower than what I expected it to be. Could it be because of an error made by my bank in reporting my timely repayments on my home loan? How can I rectify any discrepancy in my Cibil score, especially when the lapse is by the bank in reporting of my timely loan repayments?

—Name withheld on request

In the case of a discrepancy or dispute with your Cibil score, especially due to lapses made by the bank in reporting your timely loan repayments, you can take the following steps:

To begin with, fill the dispute form. You can do this online on the Cibil website. You need to provide all the necessary details and clearly explain the discrepancy. You can also attach supporting documents if you have any. Make sure to keep a copy of this dispute form for your own records, in case you need to furnish it in the future.

After you’ve filed the dispute, Cibil will investigate to validate your claim with the concerned lender. The lender is given 30 days to respond to your dispute. If the bank agrees that there was an error, Cibil will correct the mistake in its own records.

If the dispute is resolved in your favour, the necessary changes will be made in your credit report and Cibil will send you a revised credit report. If the lender does not agree with your dispute, the details in your credit report and the credit score will remain as they are. In such a case, you might have to get in touch with your bank or lender directly and provide them with proof of your timely loan repayments.

If you are not satisfied with the resolution or if you do not get a response within 30 days, you can follow-up and approach Cibil again to escalate the matter.

Remember, your credit score will not change overnight. Once the changes are made, it may take some time before the improved credit score starts to reflect.

Given the importance of credit score, it is important that such discrepancies are not ignored. A bad credit score can make it difficult for you to get loans at favourable terms in the future. A good credit score shows the creditworthiness of an individual and is an important factor in determining one’s loan eligibility.

Raj Khosla is founder and managing director of MyMoneyMantra.com