Post by Admin on Jul 11, 2017 5:57:58 GMT
Do lenders calculate or check credit scores (e.g. CIBIL score) of borrowers before granting them loans for property or for any other cause?
All lenders (banks, NBFCs etc) check credit history and score before approving any loan whether first loan using them or second loan. The use of credit file and score is always to review a n applicants overall creditworthiness.
Lender will have much better information that is internal the consumer 2nd time. But a credit report gives updated information about borrower's track record along with other lenders. This might be critical as a person may have been missing on that loan repayment elsewhere while paying using this bank, and that is possibly the reason why customer is time for this bank for the next loan.
All lenders (banks, NBFCs etc) check credit history and score before approving any loan whether first loan using them or second loan. The use of credit file and score is always to review a n applicants overall creditworthiness.
Lender will have much better information that is internal the consumer 2nd time. But a credit report gives updated information about borrower's track record along with other lenders. This might be critical as a person may have been missing on that loan repayment elsewhere while paying using this bank, and that is possibly the reason why customer is time for this bank for the next loan.