A credit information report is an important document that records a business’s or individual’s credit history. A good report translates into a healthy credit score. While an error in this report is unusual, there can be instances of incorrect information resulting in an unfavourable score.
It is therefore crucial to frequently review your credit information report and check for any inaccuracies. The process to clarify and correct them can be initiated by raising a dispute with the credit bureau.
This article explains in detail the steps to raise a dispute to get the wrong inputs removed or rectified.
How to Raise a Dispute for Corrections?
A poor credit report leads to higher interest rates, rejection of loan applications and several other issues. Here’s a look at the steps to clear up any discrepancies and maintain a good credit report.
1. Review for errors
Checking your credit report should be a recurring activity, to review if all the details are up to the mark. This is especially crucial if you are planning to apply for loans or credit cards. From minor issues to serious mistakes, here’s a look at some potential errors.
- Loan accounts that do not belong to you
- Incorrect credit limit
- Personal updates are misspelt/incorrect (phone number, PAN, name, etc.)
- Miscalculated outstanding balance
- Inaccurate repayment pattern
After reviewing the report, you can raise the dispute on one or even multiple errors.
2. Share details online
Disputes can be raised online by filling out a form. There are four credit bureaus in the country- Equifax, TransUnion CIBIL, Experian, and CRIF Highmark that are authorised by the Reserve Bank of India to compute and update the credit report information.
The process here is explained as per the CIBIL bureau.
Your CIBIL account will have a Credit Reports section under which you can navigate to the subsection and select the Raise Dispute option.
As mentioned earlier, it is possible to raise more than one correction within a single dispute.
You will have to fill in an online form and choose the relevant section which requires an addressal.
If the dispute is about ownership/duplication, select the Dispute Type and in case of data inaccuracies, enter the value for the Disputed Field.
Proceed to submit the form.
3. Process and verification
CIBIL verifies the disputes once submitted and the bureau might reach out to the concerned bank or lenders for clarification.
It is important to note that CIBIL can make changes in your credit report only after the concerned financial institution has authorised them.
The turnaround time is usually 30 days but also dependent on the banks/financial institutions.
According to the dispute type, CIBIL routes the case to the concerned credit institution. Once they have heard back on the resolution wherein the dispute is accepted, the necessary corrections are made and ‘Under Dispute’ is eliminated from the relevant section.
Irrespective of whether the dispute is resolved or not CIBIL will notify you and update the status. You can also escalate the complaint or raise a new dispute, in case you are not happy with the resolution offered.
What are the charges to raise a dispute?
Is it possible to dispute the credit score?
How can I check the status of my dispute?
If there is no resolution from the credit institution in the stated time period what steps does CIBIL take?
In how many days does CIBIL update the information after the credit institution has responded?
How to check your Credit Score on Paytm for free?
Here are the steps to follow to check your credit score:
- Log in on your Paytm mobile app.
- Go to the Loans and Credit Cards section
- Select Free Credit Score
- Check your credit score
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