Credit card clearance

POSTED BY Prabu Kannan ON June 28, 2013 9:09 pm COMMENTS (11)

11 replies on this article “Credit card clearance”

  1. Dear Prabhu, please do not plan for personal loan to pay back your relatives. Instrad of that, please liquidate your savings. That’s a sensible option.



  2. Dear Prabhu, why do you want to avail personal loan? Any specific reason?



    1. Prabu Kannan says:

      Hi Ashal,

      Very simple reason the credit card clearance was done in full because I taken credit from my relatives so looking for personal loan. Planning to clear all my relatives credit and want to ensure I pay personal loan on time.

      Will be I able to regain my score to above 700 in 6 months time. If I make payments on time on the FD cards which I recently took from DCB bank.

      Thanks in advance

  3. Rizwan Rakhangi says:

    @ Prabu Kannan

    If the score is above 750+ all loans possible & no need to worry once the score is up.

    Use your card every month but don’t exceed more than 40-45 percent and make full payment each month, NO emi on Credit card

    As always thank you for reading


  4. Dear Prabhu, please wait for 1Y for score improvement.



  5. Rizwan Rakhangi says:

    It will take at least a 6-8 month to get the score of 750+ for home loan NOC will not work
    (This is applicable if you are dealing with multinational bank like ICICi, HDFC,Axis etc iam not considering financial institution)

    **You closed the all account how *** Making full payment or settlement***

    If you made full payment and closed it your score can increase but it it’s settlement the is no chance

    ***How you can increase your score*** Few things can help you

    **User all credit card upto 45% of limit and pay it back every month
    **Calculation is simple use more and pay before due date
    **Make a full payment each month

    **Credit Card is the fastest way to increase the score as using credit card you proof you can take credit and can also pay on time **

    As always thank you for reading


    1. Prabu Kannan says:

      Hi Team,

      Thank you for responses

      I have made payment in full not settlement.

      Ok I shall use my FD cards and make timely payments in full.

      Once I increase my score to 750 will I be able to take personal loan? Will the bank consider my previous non payment records and decline the loan?


  6. Prabu Kannan says:

    Hi Team,

    I need some suggestion, my credit score is at 512.

    I have 3 accounts listed on CIBIL as default, I have not made payment in last 1 year or more than that as well. One is Bajaj consumer loan product, SBI credit card and HDFC credit card, I have cleared all the 3 accounts with no objection certificate. All the outstanding is cleared. I don’t owe any funds to any bank or loan providers.

    Now I have purchased a two FD secured cards with DCB bank and I will be making timely payments and how soon can I except to the score to increased to above 700 pls advise an approximate months for me regain CIBIL score as 720. Also do you think me using multiple FD secured cards will increase my score quicker and I am also using it not more than 40% of my credit limit on both the FD cards.

    Please advise since I have cleared all loans with HDFC, SBI cards and Bajaj consumer loan, once my score increases above 700. will I be able to apply for personal loan will the bank look at my past history and reject the loan or not ?

    Can you please advise how many CIBIL points are excepted to increase on making timely payments on single FD cards? As a general information?


  7. Credexpert says:

    Dear Mr.Kannan,

    Since you have completely paid the outstanding amount and closed the 3 loans there would be an increase in your score. However, we would not be able to comment on the increase since scores are calculated based on various factors like outstanding balance, enquiries etc.

    The late payments would reflect on your report even after the closure of these loans and this can be viewed negatively by lending institutions while evaluating your Home loan aapplication more so since they are recent late payments i.e past 1 year.

    We would suggest that you opt for a secured credit card and make timely repayments against it. Monitor your score over a period of time to minimize the possibilities of rejection of your Home loan.


  8. Dear prabhu, what’s the query?



    1. Prabu Kannan says:

      I have cleared my 2 credit cards payments in full yesterday, one Bajaj Finance consumer loan, consumer loan was paid however after due date for 1 year, credit cards payments were not paid for 1 year, my CIBIL score was at 512 last month, how much can I approximately be increased with in next 40 days if check, I have got all NOC for three loans which I took. my credit limit was rs 94000 and I paid in full off rs 156000 yesterday. I did not make any payment last one year?
      Will score reach above 750 if I wait for the next 1 year?
      Should I obtain any FD credit card to increase?
      Can I apply for a home loan using my NOC?
      Give me some tips to increase score and also advise the duration pls?
      Thanks, PRabu

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