I didn’t paid the loan outstanding due to sudden cancellation of loan account as it is linked with credit card, which was undelivered due to person not available at address (Courier STATUS). And it has been written off because bank refused to reconsider the same loan account to continue which had a period of hardly 12 months out of 48 months from date of cancellation. And when I did personal inquiry today at their branch office, they told it has WRITE OFF status from July and can’t be negotiate for reducing interest charged on outstanding balance as well as penalties.

Ultimately either I have to clear the outstanding balance OR I have to go for settlement with the bank. The bank person informally suggesting for settlement rather full payment. How this will affect my CIBIL report to get Home Loan or another Personal Loan from another bank? Please suggest which method is best whether to clear total outstanding amount without communicating with branch people OR go with settlement to pay whatever bank asks and then pay the left out amount to clear as and when I go for Home Loan. Request professionals to help me in taking decision.