I’ve paid off my debt, but CIC still shows an outstanding balance: What should I do?
Reader Trung Kiên (Quang Ngai) asks: I have fully paid off my loan at the bank and received confirmation that I no longer have any outstanding debt obligations. However, when I checked my credit information on CIC, I still saw the loan and the outstanding balance listed. My question is: Will this affect my credit history, and what should I do to update this information?
Banking Times would like to thank you for submitting your question. Here is our advice:
After a customer has fulfilled their repayment obligations, the loan information on the credit information system (CIC) may not be updated immediately. The fact that the data has not been updated immediately does not mean the customer still has outstanding debt obligations with the bank. Credit information is updated and reconciled by credit institutions according to established procedures and reporting cycles.
First, the customer should verify the exact status of the loan with the bank, particularly the amount paid, the settlement date, and whether the bank has confirmed that the loan has been closed. If the bank confirms that the loan has been paid off but the information on CIC has not yet been updated, customers may request that the bank verify and correct the data if there are any discrepancies.
Customers should retain all documents and records related to the loan settlement, such as the settlement confirmation, transaction statements, or notifications from the bank. These are important documents in case verification or a request to correct credit information is needed.
If the information on CIC has not been updated after a reasonable period of time, customers may contact the financial institution that issued the loan directly to request a review of the reported data. If the customer discovers that the information provided to CIC is inaccurate, they have the right to request that the credit institution review, address, and update the information in accordance with regulations.
It is important to note that CIC does not directly decide whether a customer will be granted a loan by a bank. CIC’s role is to receive, store, process, and provide credit information in accordance with regulations. Loan approval falls under the authority of each financial institution, based on its policies and the results of its customer assessment.
Therefore, if a loan has indeed been fully repaid, customers should not be overly concerned if the information has not been immediately updated on CIC. It is important to proactively work with the bank to confirm the loan status, review the reported data, and request corrections if any inaccuracies are found. While waiting for the update, customers should also limit the provision or use of unadjusted CIC information to avoid unnecessary inconveniences in future credit transactions.
