There are times that an individual chooses to change the name either after marriage or the name is printed wrong due to spelling errors. In case you have recently changed your name, it is highly recommended that you change your name on every official document as well to avoid any confusion regarding your identity.
Read on to know what happens when you change your name in the CIBIL Report and what impact it has on your CIBIL Score.
How Changing your Name Affects your CIBIL Score
Changing your name has no impact on your credit history or CIBIL score. Since repayment history, number of recent credit enquiries, length of credit history, credit utilization ratio, etc. are the key factors that make up your CIBIL score and affect your CIBIL report, a name change won’t have an impact on your score.
However, your name is one of the most important details in your CIBIL report since the records relate to you. A name change should be intimated to the lender or card provider as soon as it is updated in the document proof such as Aadhaar card and PAN card.
In case you change your surname after marriage or divorce or there is a change in the spelling of your name, you need to report the same to your lenders (banks) immediately. The banks on their part will then update your details and relevant documents within a given time frame. The banks in turn also further update the credit bureaus about the same. Thus, while your records (personal data) are modified by banks and credit bureaus, there is no change in your credit score whatsoever.
However, you must notify banks and credit bureaus in case there is such a change in name at the earliest to avoid delays and confusion when you apply for fresh credit since loans are sanctioned based on your past credit history and credit score which makes it imperative to have a correct name on your credit report.
Also Read: How do I check my CIBIL score online for free?
Get Free Credit Report with monthly updates. Check Now
What Should I Do If My Name Has Changed
In case there is a change in your name-spelling or otherwise, you need to first inform your banking partners about the same. Usually, once your lenders (banks) update your name in their records, the same is also reflected in your credit report/CIBIL report automatically. However, it is always a good idea to also inform the credit bureaus/CIBIL about the name change.
You may mail them regarding the name change to avoid any delay. Alternatively, you can raise a dispute on the official website of CIBIL (credit bureau) for rectification of your name. When you write to CIBIL or raise a dispute to rectify errors in your name certain details need to be provided such as:
- Current full name
- Full name registered with the bank or the lender
- Current residential address
- Your Aadhaar number in case it is linked to the loan account
- Proof of name change such as marriage certificate, etc.
Also Know: How can I get my name removed from the defaulters list of CIBIL?
Know your Credit Score if planning for a Home Loan Check Now
Things to Keep in Mind before Changing Your Name
- The new name is added to your CIBIL Report after notifying the lenders if you ever make any changes to your name. The change of name is reported to all the credit bureaus and is then replaced with the old one which remains in the credit history
- You need to regularly follow up with the credit bureau to ensure that your new name is incorporated. Once the same has been incorporated in the records of CIBIL, there will be no delay in applying for a new loan or credit card
- It may take up to 30 days to get the name updated
How Does the Delay in Notifying CIBIL Affect You
In case there is a change in your name and you haven’t conveyed the same to your banking partners, it may get misleading for them. There may also be a case of mistaken identity that might result in CIBIL report alteration. To make matters worse, you could also get stuck with a different individual’s liabilities. This makes it all the more important to inform CIBIL and your banking partners of the change at the earliest.
People with new names should take special care while checking their credit reports to see if no new accounts have been inadvertently added to their reports due to a clerical error. Any such error can have a severe impact on the credit score making it difficult to get credit in the future. If any such error occurs, one should report it immediately to CIBIL (or other credit bureaus) and the lender as well and get it rectified at the earliest.
Once your name has been changed in the lenders’ records, you should keep a check on your CIBIL report until the change is reflected in it. Ideally, the best thing to do is to also intimate CIBIL (and other credit bureaus) about the change in name along with the lenders for quicker processing of your request.
Other Credit Score Related Articles:
