Background

A long-standing customer, faced a significant hurdle while applying for a housing loan. Despite having a seemingly clear financial record, his loan application was hindered by an unexpected ‘written off’ flag on his credit report. This flag was linked to an unused credit card that customer had nearly forgotten about.

The Challenge

The ‘written off’ flag on credit report came as a shock, especially since he hadn’t actively used the associated credit card in years. This flag was critically impeding his ability to secure a housing loan, a key step in his life plans.

Kenstone Capital's Intervention

He approached Kenstone Capital, bewildered by the situation. The service team at Kenstone Capital quickly took charge, guiding him through the complex process of rectifying his credit report. They advised him to initiate direct communication with the bank that issued the credit card.

Discovery and Resolution

Within a week of contacting the bank, Customer received a detailed response. It turned out that the credit card, though inactive, had accumulated unpaid annual charges over the years, leading to its ‘written off’ status. With this newfound understanding, He promptly clear the outstanding charges and requested a No Objection Certificate (NOC) from the bank.

Clearing the Credit Report

Following the payment, the bank issued the NOC. Within 30 days,  Service team followed up with the CIBIL through appropriate disputes and His  credit report was updated, reflecting a clear status. This swift resolution was instrumental in removing the ‘written off’ flag.

Conclusion

This case highlights the intricacies of credit reports and the importance of monitoring financial instruments, even those that are not actively used. Kenstone Capital’s proactive guidance and the customer’s prompt actions were key to resolving this issue efficiently, thereby facilitating the sanction of his housing loan. This case serves as a testament to the value of financial awareness and the critical role of expert advisory services in managing credit health.