Low SIBIL Score

POSTED BY Divya Saravanabhavan ON January 29, 2013 11:55 am COMMENTS (4)

Hi Team,

I checked my CIBIL Score yesterday after a request for personal loan was rejected. It is a very low score of 542. I am surprised because, i do not hold an other loans, I have been in the same company for over 10 years, and my credit card payment is only due on Feb1st with a mere 10K. THen i realised that I had a Barclay Card which stopped its operations in india and had a collection agent collect an outstanding of a mere 2.2K, which i tried paying last April with one late payment fee, but the payment came back. The CIBIL report says that this has been written off. I think this has been the very reason that the score is low. Is there any way to change this. I might require financial assistance, this year as I am planning to buy a house. PLease help.

Regards,

Divya

4 replies on this article “Low SIBIL Score”

  1. Credexpert says:

    Dear Divya,

    Contact Standard Chartered Bank (as Barclays portfolio was purchased by Standard Chartered Bank) and pay the outstanding balance assuming they accept the payment against a Written off account.

    We also assume that there could be factors other than the non – payment on the Barclays card that have impacted your credit score negatively. We will need to analyse your report to comment on the specifics.

    Regards,
    Credexpert

  2. Dear Divya, I agree with dear BanayanFA, please contact S&C (the purchaser of indian business of braclays card) & pay the dues in total with out fail. Avail an NOC from the same as well as ask there to update your payment status in your CIBIL report. The score ‘ll improve automatically. Till the time, this thing is not sorted out, please do not apply for any loan as it ‘ll impact your loan application be it for home or car.

    Thanks

    Ashal

  3. BanyanFA says:

    Divya,
    I slightly disagree with Raj. You can contact the buyer of Barclays card (Standard chartered) and ask them how can this be rectified. Generally after the purchase of a business is done, all existing accounts and past accounts / recoveries are also transferred to the new owner.

    Good luck

  4. Raj says:

    Divya,

    If the operations are closed and the amount has been written off then you will not be able to settle it and get the score increased. As I see it, your score will improve as you use more credit and settle the same within the stipulated period. The building up of the score will happen but it will take time.

    As far as current loans are concerned it will be best to seek an appointment with the bank and explain the situation to them. You may also want to explore joint loans with a family member provided they have good CIBIL scores.

    Regards
    Raj

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download Our FREE Ebook!

Available only for first 100 people today

Download Our FREE Ebook!

Available only for first 100 people today