Does Adjusting EMI After Home Loan Part Prepayment Affect CIBIL Score?

[SMGROW]

I am planning to make a part pre-payment on my home loan and would like to adjust the monthly EMI based on the reduced principal balance after the payment. However, the bank official informed me that adjusting the EMI in this way would be reported as a “loan rescheduled” entry in CIBIL. According to him, this could negatively impact my credit score and may also be viewed by other lenders as a sign of financial distress.

I would like to confirm if this information is accurate. Since I am reducing the principal and then seeking an EMI adjustment, I would not expect it to be considered a rescheduling. Has anyone faced a similar situation?

 

[prankster]

I am planning to make a part pre-payment on my home loan and would like to adjust the monthly EMI based on the reduced principal balance after the payment. However, the bank official informed me that adjusting the EMI in this way would be reported as a “loan rescheduled” entry in CIBIL. According to him, this could negatively impact my credit score and may also be viewed by other lenders as a sign of financial distress.

I would like to confirm if this information is accurate. Since I am reducing the principal and then seeking an EMI adjustment, I would not expect it to be considered a rescheduling. Has anyone faced a similar situation?

Sounds like a load of BS. What bank is this?

 

[SMGROW]

Sounds like a load of BS. What bank is this?

Bank of India

 

[neo.puneet]

what is your current cibil? (on a side note, if possible, i would advice your to just add into principal and don't adjust emi, this way you will end up paying the HL way early)

 

[prankster]

I am planning to make a part pre-payment on my home loan and would like to adjust the monthly EMI based on the reduced principal balance after the payment. However, the bank official informed me that adjusting the EMI in this way would be reported as a “loan rescheduled” entry in CIBIL. According to him, this could negatively impact my credit score and may also be viewed by other lenders as a sign of financial distress.

I would like to confirm if this information is accurate. Since I am reducing the principal and then seeking an EMI adjustment, I would not expect it to be considered a rescheduling. Has anyone faced a similar situation?

I think the bank official is confused between re-scheduling and re-structuring.