Tag: credit report

How to Correct a Late repayment record on your Credit Report at Letzbank

Did you know that even a minor delay in repayment of your loan EMI or your credit card bill gets recorded in your credit report and forms the basis of your Credit Score? Therefore you need to take your finances seriously and live a disciplined life in terms of your finances.  If you have ever owned a credit card then you would know that your credit card limit is automatically enhanced if you make you payments in time however, if you fail to make the credit card repayment in time it can lead you into a debt trap which would ultimately lead to a poor credit report. Once you credit report is poor your credit score will automatically be poor, now the question arises how to set straight your credit report – here’s the answer.

Every banking or financial institution that lends money to people check their credit score and credit report before they lend the loan or offer credit card to the borrower in order to ensure that the borrower is a financially responsible citizen and will make the loan repayment in time. Any fishy thing found in the credit report or a low credit score would ultimately lead to rejection of your loan application or your credit card application. The banks or the financial institutions either ascertain the credit score or the track record of the borrower themselves or hire an agency to check the credit score and credit report of the borrow. The three credit bureaus in the country are Experian, CIBIL and Equifax.  You can also check your own credit report or credit score for Free from Experian at Letzbank portal.

So what would you do if you find that there is a late repayment recorded in your credit report? It is not a cake walk to strike off a late repayment record from your credit history and it is hard to convince your lender to ignore a mistake that you have made, therefore this is what you need to do to strike off a bad remark on your credit image:


  • Firstly you need to get a copy of your credit report. Once you received the copy of your credit report, you must check it thoroughly for any error or inaccurate information mentioned in the report including late repayment.
  • If there is a default since you forgot the date the due date you can request your lender to strike off on a goodwill basis – such arrangement is also known as “Goodwill Adjustment”. However, yourlender can only consider your excuse and make an adjustment if you have a good repayment history and have barely ever defaulted. It is solely for the lender to decide if he wishes to strike off your late repayment or not.
  • There can be cases where the lenders may require some kind of assurance from you part before he strikes off your late repayment record. They may often request you to sign up for auto-debit towards payment, so you do not default again.
  • You can also request your lender to remove the late repayment remark by agreeingto pay the outstanding amount either partially or fully.


You can also get in touch with an agency like Experian and they will be able to help you strike off your late re-payment record. Keeping a track of your credit report and making payments in time are two very genuine and doable ways so that you do not land yourself into the trouble in the first place. Check your Credit Report and Credit Score for Free from Experian at Letzbank!



Know Banks to offer Personal Loans through ATMs at Letzbank

Most of us who have had long standing relationship with a certain bank/s have received a call from the customer care offering a pre-approved personal loan. The competition between lending agencies has intensified so much that sometimes a long and reliable relationship is also not required or requested! Well, now the banks are ready to take the offer of personal loan a notch higher making it further easy and simple to avail it- by offering it through their ATMs. Before we tell you how the system is expected to work, let us first touch upon the very concept of personal loans.

What are Personal Loans

Personal loans are a category of loans that are meant for meeting personal expenses and emergencies. The best part about personal loans is that they can be put to use for plethora of purposes. Right from medical emergencies to your dream vacation, you can avail personal loan for just about anything. In some cases the bank may specifically debar certain uses of the loan money; same shall be mentioned in the loan document. With heavy competition to tap retail market such riders have become truly rare. Banks are now only interested in timely repayment of the loan amount. Personal loans are short term loans and need to be paid back within a year.

Advantages of Personal Loans

  • Extremely easy to avail as there are almost no conditions attached except repayment and tenure
  • Very quick processing time which makes these loans ideal for emergencies
  • Personal loans can be used for any personal use without giving an explanation to the lender
  • Minimum paper work and documentation
  • Available at competitive rates

Disadvantages of Personal Loans

  • They are available only for the duration of one year
  • Compared to other loans, the interest rate on personal loan is higher
  • Pre-closure and advance payments are usually not allowed or only allowed upon payment of penalty and charges.
  • Easy availability leads to misuse of these loans in the hand of borrowers.

Now that we have discussed the Pros and Cons of personal loans, let us move on to the new initiative taken by banks to offer personal loans through ATM.

How will it Work?

Usually you visit ATM to withdraw money or check your balance. Now every time you avail the service of ATM, after the transaction is over the ATM screen will flash the offer of instant personal loan to you. If accepted, it will immediately disburse the loan to you. This is a rather easy thing for banks to do and all they need is, robust software to handle ATMs across India. Usually bank has all important information about its clients and account holders. It is on the basis of this information that the banks offer personal loans. Their metrics computes the loan amount based on income earned, average account balance maintained, average spending on credit card and credit history of the account holder. With the introduction of new system, this information will be patched to your account number and recognised every time you use your debit or credit card.

Reason behind the move

There are certain well founded reasons behind this initiative. The first one being capturing the retail market which is presently flooded with borrowers who are availing mainly vehicle or home loan. Personal loan is still a category that does not interest a lot of people. Many borrowers are not even well aware of this category of loan. Secondly, the demand for corporate finance has remained and continues to remain flat. The only growth that is being seen is in personal finance at retail level. This move will reduce the queue for loan at banks thereby relieving a lot of man hours that can be put to better use.

For non-Clients

If a person who does not have any relationship with a particular bank yet wants to avail a personal loan then he or she can swipe any bank’s card in the ATM and request a call back by giving contact number.

Advantages and Disadvantages of the Move

At the very outset, personal loan through ATM has numerous advantages. It will over simplify the procedure and reduce congestion at the banks. Even persons who do not have any relationship with the bank will be able to approach and get in touch with their customer care without setting a foot in the bank. There is no time lag owing to loan processing, just press yes and receive the loan amount.

The main disadvantage is handling the cash amount in the ATM. A big amount getting dispensed catches eyeballs and can put the borrower at risk. The over simplification of the process may lead to incessant borrowing and misuse of funds. For those lacking financial discipline, instant personal loan could create a financial mess.

Withdrawal of personal loan from ATM is a big move by the banking sector and should fuel spending in retail sector. If withdrawing personal loan from ATM does not make you feel comfortable, visit us on letzbank where we get all categories of loan including personal loans, under one roof. Compare attractive offers from various well known names in the lending sector. If still in doubt, get in contact with our customer care for clarifications. We also have useful and innovative products other than loans like online Return filing platform in tie up with Clear Tax and Credit Score report powered by Experian. We also have an eligibility calculator which gives you an idea about the loan amount that you can apply for. Letzbank is your one stop shop for loans and returns. Visit us today and buy the dreams of tomorrow with our loans that take care of every occasion and need!

Why credit Score is the only number you should be concerned with? at Letzbank

The credit score of a person is the sum of your entire repayment history. This credit score is determined by your debts, loans, missed payments, credit card and number of loans. The highest score is 900 and if your score is 750 and above that you are said to be within the Low Risk bracket. Therefore, higher the credit score lower is the risk involved while disbursing the loan and therefore higher is your eligibility. The credit score changes depending on your spending choices. So explore with us everything about the credit score in this article.

Why is your Credit Score Important?

Some of the reasons why the credit score is very important are that –

  • It is one of the factors that would determine whether or not your loan application will be approved. If your credit score is high it simply indicates to the banks that you can be trusted with the loan repayment.
  • Having a good score helps you in fetching loans at low rate of interests and therefore low EMI.
  • The credit scores and records are permanently saved on the portal and showcase your entire history. So make sure you have a good clean score.

How to improve the credit score?

  • Always make sure that you pay your bills on time. There are a number of simple ways to track your payments such as writing sticky notes on the fridge, maintaining a calendar of things to do, put a phone reminder or something but pay your bills on time
  • Do not use your credit card to more than the credit limit you can pa back, because small ratios are better for rating.
  • Even if you had a debt on you and you paid it out, don’t try to remove or delete that record, because it will be great for the banks to see that you did clear off your debts and didn’t keep it pending and unpaid
  • Don’t apply for multiple loans or credit cards all at the same time. Because if it gets declined also it gets recorded and has a risk of lowering your score
  • Have your name only for your accounts and not let others use your accounts. Because even though it’s not you the credit company will not know, so you will fall into trouble.


So these are few of the most important things to know about the credit score and why exactly it is such a serious thing. Remember that it is a long process to get the score back to good and so try your maximum best to not come under the risk bracket. If at all you find that your credit score is not that good, you can rectify your credit score by availing an expert help of organisations such as Credit Clear and your score can be improved. Hope this article was helpful for you all.