INCOME TAX25 Sept 2026
Beyond the number: Why an 800 credit score doesn’t guarantee a loan and what you can do about it | Mint
A CIBIL score above 800 still shows healthy credit habits, but banks are tightening lending rules. An old 'settled' account tag stays on your credit report for years, because you paid less than the full amount owed. Lenders see it as risky. If you have one, clear the remaining balance with the original lender and get written confirmation.
Key Statutory Highlights
- A credit score above 800 signals healthy habits, but it no longer guarantees easy loan approval as lenders tighten retail lending norms.
- A 'settled' tag means the bank accepted a smaller payout than the full balance, and the credit bureau does not remove or update this remark automatically over time.
- Lenders treat settled accounts as high-risk, fearing that a past failure to meet obligations could mean repeated default in future.
Actionable Advice for Taxpayers / Founders:Please pull your credit report and look for any 'settled' tag. If you find one, try to pay off the remaining difference with the original lender and ask for written confirmation that all dues are cleared, so the updated status can be reported to the bureaus.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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