CIBIL score dropped after raising disputes

[myfinquest]

My CIBIL score was 810 in March. Today, I was surprised to see it at 760. There were no new accounts , but two disputes I raised

1. Mark Barclay's credit card as closed. (Barclays closed down in India in 2012). This was not my oldest card
2. Mark HDFC car loan (paid up in Aug 2023) as closed.

Will the above causes a drop of 50 ? I don't think so. I had to raise multiple disputes to get the Barclays cc to be marked as closed and I gave multiple bad ratings to their surveys as well.

I have a new HDFC car loan , but it is yet to be reflected in CIBIL report. The only significant thing happened recently was in early Feb when I got an unsolicited loan enquiry from EArly Salary. Though I disputed this with CIBIL , complained with RBI, nothing happened. Early Salary says they got an enquiry through WeCredit and WeCredit says they got it from one of their partners which they are not divulging. But, this caused a drop of only 5 points from Feb to March.

Anyone seeing such massive changes to CIIBL scores ? Wondering if there is any change in the score calculation rules from new financial year.

Thanks.

 

[Vasuki]

My CIBIL score was 810 in March. Today, I was surprised to see it at 760. There were no new accounts , but two disputes I raised

1. Mark Barclay's credit card as closed. (Barclays closed down in India in 2012). This was not my oldest card
2. Mark HDFC car loan (paid up in Aug 2023) as closed.

Will the above causes a drop of 50 ? I don't think so. I had to raise multiple disputes to get the Barclays cc to be marked as closed and I gave multiple bad ratings to their surveys as well.

I have a new HDFC car loan , but it is yet to be reflected in CIBIL report. The only significant thing happened recently was in early Feb when I got an unsolicited loan enquiry from EArly Salary. Though I disputed this with CIBIL , complained with RBI, nothing happened. Early Salary says they got an enquiry through WeCredit and WeCredit says they got it from one of their partners which they are not divulging. But, this caused a drop of only 5 points from Feb to March.

Anyone seeing such massive changes to CIIBL scores ? Wondering if there is any change in the score calculation rules from new financial year.

Thanks.

Yes it normal
Many have seen drops
U r above 750 which is good

But take a closer look.
After 13 yr
Enquiry is like drop in ocean can't create a buzz forget waves

 

[SSV]

My CIBIL score was 810 in March. Today, I was surprised to see it at 760. There were no new accounts , but two disputes I raised

1. Mark Barclay's credit card as closed. (Barclays closed down in India in 2012). This was not my oldest card
2. Mark HDFC car loan (paid up in Aug 2023) as closed.

Will the above causes a drop of 50 ? I don't think so. I had to raise multiple disputes to get the Barclays cc to be marked as closed and I gave multiple bad ratings to their surveys as well.

I have a new HDFC car loan , but it is yet to be reflected in CIBIL report. The only significant thing happened recently was in early Feb when I got an unsolicited loan enquiry from EArly Salary. Though I disputed this with CIBIL , complained with RBI, nothing happened. Early Salary says they got an enquiry through WeCredit and WeCredit says they got it from one of their partners which they are not divulging. But, this caused a drop of only 5 points from Feb to March.

Anyone seeing such massive changes to CIIBL scores ? Wondering if there is any change in the score calculation rules from new financial year.

Thanks.

That was a massive drop. It is not normal…
Your full CIBIL report with masked sensitive data only can help me in advising you in this regard

 

[sidp]

Anyone seeing such massive changes to CIIBL scores ? Wondering if there is any change in the score calculation rules from new financial year.

Thanks.

in last few month cibil has been erratic. Multiple people have suffered drop. Yours is more significant though.
any way it should recover in next couple of months.
There could be other reason as well. You need to check the report properly.

 

[SSV]

in last few month cibil has been erratic. Multiple people have suffered this drop. Yours is more significant though.
any way it should recover in next couple of months.

There was no change in algorithm as such, it was a minor refinement and in my case it came back to normal within one day by recovering the lost 5 points

 

[Yugi]

My CIBIL score also dropped after raising dispute against ICICI for multiple enquiries for same credit card. Immediately after the enquiry was suppressed CIBIL score scored dropped while other credits score continue to remain same.

 

[sidp]

There was no change in algorithm as such, it was a minor refinement and in my case it came back to normal within one day by recovering the lost 5 points

Many people suffered 10-15 points drop in last 2-3 months.
Only way to be sure is go through full report or wait 2-3 months to recover.
If we ask them, they'll avoid it by saying changes in internal criteria.

 

[myfinquest]

That was a massive drop. It is not normal…
Your full CIBIL report with masked sensitive data only can help me in advising you in this regard

If it will help, attaching a few screenshots. There are no new accounts since last 6 months.

 

[SSV]

If it will help, attaching a few screenshots. There are no new accounts since last 6 months.

This is only summary, need full report to understand the possible culprit for the drop in the score.
You can share me via dm if you wish to..

 

[myfinquest]

This is only summary, need full report to understand the possible culprit for the drop in the score.
You can share me via dm if you wish to..

Sent you DM

Thanks in advance.

 

[SSV]

Sent you DM

Thanks in advance.

okay let me check.. please remind me in a day or two, if not responded ..

 

[Deleted member 9785]

does CIBIL score matter much to worry about 20-30 points?

 

[SSV]

does CIBIL score matter much to worry about 20-30 points?

Yes it does, in some cases...

anything above 750 is good for CC purposes..
Above 800 gives you really upper hand while negotiating interest rate on Home Loans..

 

[helloworld]

any new cards in last 24 months that contributing current total utilization ratio?

ex: got HDFC card in 15-Apr-23 which has total limit of 5L, contributing 20% of total credit limit.

or preciously,

(last 1-2 years approved cards limit)/total credit limit %.

Note: It must complete atleast 1 year. <1 do not include.

 

[myfinquest]

I have added 4 cards in last 2.5 years , with at least 10 months in between , but total utilization is always <15 %. Two new HDFC cards shared limit with my existing Regalia. Only swiggy card is 6 months, others are > 1 year . Two Axis cards added another 1.4 to the limit. Usage is spread across cards.

My score stayed 810+ till February , slowly started dipping in March to 803 , then suddenly to 760 in April. So, I don't think it is the cards as I have seen a dip of 3-4 points after every enquiry which later increased.

I have an enquiry from Early Salary in Feb, but my history is 17.5 years and this should not have caused a big impact.

I am not worried about drop in points, but worried about the "why" part.

 

[talkwithfino]

Sent you DM

Thanks in advance.

okay let me check.. please remind me in a day or two, if not responded ..

Could you pls share the potential reason for the drop in score....

Edit -
@SSV So what was the potential reason for the drop in score...?

 

[SSV]

Could you pls share the potential reason for the drop in score....

SUre .. .

 

[helloworld]

I have added 4 cards in last 2.5 years , with at least 10 months in between , but total utilization is always <15 %. Two new HDFC cards shared limit with my existing Regalia. Only swiggy card is 6 months, others are > 1 year . Two Axis cards added another 1.4 to the limit. Usage is spread across cards.

My score stayed 810+ till February , slowly started dipping in March to 803 , then suddenly to 760 in April. So, I don't think it is the cards as I have seen a dip of 3-4 points after every enquiry which later increased.

I have an enquiry from Early Salary in Feb, but my history is 17.5 years and this should not have caused a big impact.

I am not worried about drop in points, but worried about the "why" part.

(last 1-2 years approved cards limit)/total credit limit %.

Note: It must complete atleast 1 year. <1 do not include.

as per cibil. we both know hdfc share limit, but cibil consider both of them as separate cards.

ideally as per your email what % is this?

( hdfc 1 + hdfc 2 + axis 1 + axis 2 ) whichever completes 1 year / total reported limit in cibil.

the card limit, type etc. added to score computation after 1 year. before that not much impact.

 

[myfinquest]

(last 1-2 years approved cards limit)/total credit limit %.

Note: It must complete atleast 1 year. <1 do not include.

as per cibil. we both know hdfc share limit, but cibil consider both of them as separate cards.

ideally as per your email what % is this?

( hdfc 1 + hdfc 2 + axis 1 + axis 2 ) whichever completes 1 year / total reported limit in cibil.

the card limit, type etc. added to score computation after 1 year. before that not much impact.

Ok. In that case, it will be (2.94+2.94+1.43+1.43) Age of these cards are ( 6 months, 1.5 years,2 years 3 months, 2.5 years)
My other cards combined has a limit of 21 lacs as per CIBIL.

Cards 1 year - 3 years , it will be (2.94+1.43+1.43)/ (21+5.8) => approx 22%

Taking only cards 1-2 years , 2.94 / 26.8 => approx 11%

 

[helloworld]

Ok. In that case, it will be (2.94+2.94+1.43+1.43) Age of these cards are ( 6 months, 1.5 years,2 years 3 months, 2.5 years)
My other cards combined has a limit of 21 lacs as per CIBIL.

Cards 1 year - 3 years , it will be (2.94+1.43+1.43)/ (21+5.8) => approx 22%

Taking only cards 1-2 years , 2.94 / 26.8 => approx 11%

Disclaimer: This may not be accurate, but based on information obtained, and after personally experienced.. again not an accurate because maybe only those who designed that CIBIL algo can explain exact reason, so some inputs that I got..

(this is for your 'why' part, similar question I got and found some of the below info)

- You know usual conditions like CUR, pay on time, etc. along with that

factors that may affect our CIBIL score..




I said several times in this forum for the same but some of them not impacted (or based on their monthly checkups no issues) or some of them comparing to others who had multiple two digit cards in short time (and no impact in their CIBIL). So, take it that in consideration..

based on info shared by you..

a sudden increase of 22% (on rolling method CIBIL observed .. consider CIBIL is AI and suddenly you changed the prompt which it didn't observe all these years. So, got confused and took the worst part.

along with that you need to find, (current balance of these 3 cards) / (total current balance available in CIBIL report -> CIBIL summary)

Ex: 1.5Y card last month has outstanding reported to CIBIL as 40k
2Y reported 20k
2.5Y card reported 20k

-- remaining old cards contributed 30k then total utilization of those 3 cards 72% (this changes month on month).

Try to understand above two screenshots (both are from CIBIL), let me know if any changes.. this is what I understand but as I said I maybe wrong. If you found some reason, let me know.

Alternatively, if you have last month CIBIL report (810 one), share both to CIBIL support and ask them exact reason for score change in those two reports, they can give you extra inputs.