Good article.Though I am honest to my liabilities but I didn't know about CIBIL.Now what is solution if a person gets into crisis and is unable to pay next 2-3 instalments and the bank is informed in advance that there will be delay.
Re: Info
by N Karthik on Oct 30, 2014 11:09 AM
You may want to check your CIBIL score first. Its a good idea to check atleast once in 6 months or once a year. Submit a request at www.cibil.com and make a payment of Rs.470 or so. Once CIBIL is able to verify your details, you will get a detailed credit score to your email. The score is out of 900 and there are indicators which show if you are in the red, yellow, or green zone.
Regarding your question on situations when the Financial institution is informed, it depends on how the institution considers the request(Whether as wilful default, written off, settlement). Nevertheless, it will impact your credit score as it will reflect in the credit score document that you missed couple of payments. This would have an impact on any new loan requests/credit card applications etc as the bank might think you are unable to fulfil your current obligations. Other factors that impact your credit score are 1. Utilizing your credit card limit to the maximum and if your payments are delayed 2. Numerous credit cards. Dont have more than 1-2 3. Applying for a number of loans or making enquiries for lot of loans. Visit www.cibil.com for more info
