How your bank decide, regarding lending loan to you. (INDIA)


When you apply for loan, banks asks your identify proof and three year income tax returns.  Employment details your assets etc, which are obviously know to all of us. Apart from knowing how much worthier you are, banks also sees, your reputation of paying your loans. For this in India, we have CIBIL (credit information bureau INDIA Limited)

What is CIBIL http://www.cibil.com/
CIBIL this is private organization which collects all the information of all citizen all over the INDIA. It has complex calculation method, through which it calculates credit score. Banks collects this information by CIR (credit information report) and they decide regarding loan lending.
CIBIL gets information loan repayment from all the banks and credit card. Exactly how the points are given is not known. Because, if citizens come to know about this, they will find mechanism to cheat, this what is said.
How to know your credit score
Citizens can access their credit transeunion score, from this page by paying Rs 450 (individual) and downloading this form from this link http://www.cibil.com/sites/default/files/pdf/consumer-request-form.pdf .
There is online submission  also there if you wish to https://www.cibil.com/online/manageCustomerDetails.do?action=showAddPaymentPage
80% of the bank sanction loan if score is >750
What to do if there is Dispute in score
For this customers can raise dispute from filling this form  check this link http://www.cibil.com/consumer-dispute-resolution
What can you do to improve your score
These are self-explanatory just for completion
1.      Before taking loan, plan the repayment strategy
2.      Take only the loan to the extent that is required,
3.     Have no more than one credit card.
4.      Pay premiums regularly
5.      Avoid late payments
ycomments and views are welcome

Dr Umesh Bilagi

MBBS, MD, DM (cardiology). I am Interventional cardiologist. Blogging is my passion. Associate professor of cardiology KIMS Hubli. Director and consultant at Tatwadarsha Hospital Hubli. Owner of Jeevan Jyoti Hospital Hubli. Mobile +91 9343403620.

One thought to “How your bank decide, regarding lending loan to you. (INDIA)”

  1. nice article i think this is very important issue in keeping good credit score and about
    dipute raising application is also very important issue

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