Does Loan Rejection Affect Credit Score?

Banks and financial institutions submit credit information related to the borrowers including outstanding amount, overdue status etc. to Credit Information Companies (CICs). They organise this data to be seen by other players in the financial system and also by users on specific request. There are 4 such companies registered and currently operating in India including CIBIL Transunion, Experian, Equifax, and CRIF High Mark. These companies not only act as repositories of the credit information but also provide you with a much simplified and meaningful expression of your credit history in the form of credit score.

What is a Credit Score?

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Does credit report reflect the outcome of my credit application?

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  1. You may have been offered a loan at more favourable terms with any other lender
  2. You may have applied for a loan simultaneously with multiple banks for a better bargaining power
  3. You may have found the required funds outside the banking network, i.e. from your personal network of friends and relatives.
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Money View is the team behind India’s #1 Money Manager App and fastest growing Personal Loans app. https://www.moneyview.in

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