Why should CIBIL be abolished?
1st and foremost RBI has its credit rating system. So when such an efficient RBI credit rating system EXISTS why should a PRIVATE Company ENCOURAGED by any of the PRIVATE Banks start a parrallel system.
CIBIL though it began as a credit rating company - has a baised medium of Updating credit report of a consumer. Whatever the member banks- mostly private banks here ., gives CIBIL
CIBIL updates it without even verifying the data given by the Bank IF IT BE FALSE.
Thus because of such wrongfull display of Public Document by CIBIL many Indian Banking Consumers have suffered huge FINANCIAL LOSS.
Sometimes consumers who apply for loans dont get Loans because their names are mentioned in CIBIL.
Some people are surprised to see their name listed on CIBIL Website as defaulters.
These are few people who havent availed any loans in life and applying for a loan for the 1st time - they are finding their names in CIBIL.
It has so happenned on investigating how their name got listed in CIBIL -
2 reasons have usually been the cause of this fraudulant display.
Either the person who is listed at CIBIL - had approached a bank thru some loan agent and then the loan agent had filed for loan .
The loan wouldnt have been given to this loan applicant . Tthen after some period of time- the loan application which was pending a loan approval - got approved and some one inside the bank - a bank official used this loan and didnt pay.
Reason: loan was taken based on a consumers file whos file was pending earlier and now when approved the principle consumer was unaware of loan sanctioned on his application. The bank employee inside the bank utilising this opportunity misuses the loan that was santioned- utilses the facility.
If such a person who has utlised loan in another persons identity -doesnt bother to repay - the person in whos name loan was availed turns a defaulter.
Such people come to know this defaulter problem only when they apply for a loan.
there are other facts where CIBIL places a persons name as defaulter.
Many a times private banks provide loans/creditcards to consumers.When consumers at times die or dissapear to mention data in book of records and keep accounts moving profitably if any A. Mentioned Ram mohan , Delhi, had availed loan- died - then another person B. namely Ram Mohan , living in MUMBAI sometimes banks use this opportunity to use and match the living persons pancard and state he is defaulter.
Actual matter: A. RamMohan,Delhi who actually availed loan is dead and gone.
B.Ram mohan, Mumbai is alive but not the person who availed the loan. But because of this mismatch and then projection as defaulter at CIBIL he suffers as a defaulter for no reason of his.
3. Banks do such activities with CIBIL s cooperation to maintain book of accounts and if defaults are more at the end of the financial year claim damages from :
RBI Credit Allowance.
4. Some times many private recently have displayed many consumers as defaulters.
Actually such consumers arent defaulters. In the downturn of economy in 2007 to 2010 many banks lost a lot of money giving loans to certain consumers.Now they were unable to recover such monies as the economy crashed.
As such many and many consumers who had availed loans turned circumstantial defaulters and many with help of the banks made a OnetimeSettlement. As the OTS was done with help of the banks they borrowed - once a mutual settlement is agreed between lending banks and borrower - after such settlement / banks can place the settler as defaulter.
But to cover up losses when people who settled past loans wanted to avail fresh loans., banks take advantage of their name mentioned as defaulter at CIBIL and then encash on the opportunity stating if such consumers want loan- pay up 20,000 to 30,000 more so that these banks remove their names out of CIBIL.
This is an easy way of extorting money from poor consumers.
It causes huge loss and damage to usually lower and middleclass businessmen.
CIBIL has become a blackmailing medium for banks to extort monies from consumers.
FOR ALL CONSUMERS who have suffered from CIBIL ATROCITIES CONTACT US:
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