CIBIL Rating Not Changed Despite Clearing Loan : Kerala High Court Directs Credit Rating Agency To Ensure Requisite Credit Rating
The Kerala High Court directed the Trans Union CIBIL Ltd, a credit rating agency, to ensure that the requisite Credit Rating was given to the petitioner since he had no subsisting loans and the earlier loan account had been fully closed.The petitioner approached the High Court to restore his Credit Rating despite no subsisting loans pending. His Credit Rating remained very low despite...
The Kerala High Court directed the Trans Union CIBIL Ltd, a credit rating agency, to ensure that the requisite Credit Rating was given to the petitioner since he had no subsisting loans and the earlier loan account had been fully closed.
The petitioner approached the High Court to restore his Credit Rating despite no subsisting loans pending. His Credit Rating remained very low despite no subsisting loans.
Justice Devan Ramachandran has directed Trans Union Cibil Limited to consider the reports submitted by the Canara Bank regarding the closure of the loan account and to take a decision on the Credit Rating of the petitioner within three weeks. Further, the Court directed the Trans Union Cibil Limited to ensure the petitioner was given sufficient Credit Rating.
“The third respondent will ensure that the requisite “Credit Rating” is given to the petitioner and reflected in the online portal within the afore time frames", said the Court.
The Counsel for the petitioner submitted that he had availed a loan from the Canara bank and despite paying the loan and no subsisting loans, his credit rating remained very low.
The Counsel appearing for Canara Bank submitted that the loan account of the petitioner was closed and now it was up to the Trans Union Cibil Limited to restore the credit rating.
The Counsel appearing on behalf of Trans Union Cibil Limited submitted that they were awaiting instructions from the Canara Bank regarding the status of the loan account maintained by the petitioner.
As such, the writ petition was disposed of with directions to Trans Union Cibil Limited to restore the Credit Rating of the petitioner.
Counsel for Petitioner: Advocates Syam J Sam, Meera Babu
Counsel for Respondents: Advocates C Ajith Kumar, M Gopikrishnan Nambiar, Standing Counsel Mathews J Nedumpara
Citation: 2024 LiveLaw (Ker) 201
Case title: K Venugopal Nair v Manager, Canara Bank
Case number: WP(C) NO. 5339 OF 2024