How to rectify Suit Filed in CIBIL report?
What is Suit Filed?
Suit Filed is a special case. When a customer takes a loan from a bank or a Non-Banking Finance Company (NBFC) and does not pay the EMI for a long time, then the bank can file a case in court against that customer to recover the loan. When the bank files a case in court, then the “Suit Filed” status is shown in the CIBIL report for that particular loan account.
Difference between Suit Filed and Wilful Default
Sometimes along with Suit Filed, the “Wilful Default” status can also be seen. There is not much difference between Suit Filed and Wilful Default. In both cases the customer is not making the payment and the bank files a case in court to recover the money. But Wilful Default is written when the bank feels that the customer is intentionally not making the payment.
This is mostly seen in the case of big loans or big companies where they take a loan and divert the funds to another company and intentionally do not make the payment. In such cases the bank can mark the account as Wilful Default.
Sometimes the Suit Filed status can also be seen in small loans. But many times it happens that the bank does not actually file a case in court for small loans, because filing a case also involves expenses. Usually banks file court cases mostly in big loan cases.
Impact of Suit Filed on CIBIL Score
If the Suit Filed status appears in the CIBIL report, it has a very bad impact on the CIBIL score. The CIBIL score drops and it becomes very difficult to get a loan from any bank. Even NBFCs do not prefer to give loans to such customers because they feel that the customer is already a defaulter.
Does Suit Filed get removed after 7 years?
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Many people say that Suit Filed or negative status gets removed automatically after 7 years. But this is a myth. It is not necessary that the status will be removed automatically after 7 years.
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Some people give this information because in the USA the rules of some credit bureaus are different. In some cases there, the data can be removed after 7 or 10 years. But in India there is no such rule.
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We receive many CIBIL reports every day. We have also seen cases where even after 10 years or 15 years the Suit Filed status is still present in the report. It does not get removed automatically.
Different Reasons for Suit Filed Appearing
Many times the customer has already made the payment, but the Suit Filed status still appears in the report. Sometimes this also happens because of data mixing.
Data mixing happens when the name or address of two customers is similar. In such cases, the loan of one customer starts appearing in the report of another customer. If that loan has a Suit Filed status, then it also appears in the report of the wrong customer.
In this situation, by simply raising a complaint the complete loan account can be removed from the report.
Suit Filed Even After Payment
Sometimes it also happens that the customer has already made the full payment, but the Suit Filed status is still visible in the report. This is an error and it can be corrected by raising a complaint.
Actual Suit Filed Case
If the customer has actually taken a loan, has not made the payment, and the bank has filed a case in court, then in such a case the first step is to contact the bank. You need to take an outstanding letter from the bank to know how much amount is still pending.
After that you should make the full payment, and while making the payment you must take a “No Due Certificate” because it is a very important document.
How to File a Complaint in CIBIL
After this, you can raise an online dispute in CIBIL. There are two ways to do it.
The first method is to log in to the CIBIL portal and raise a dispute. For this, you need to register on CIBIL.
The second method is to fill out the form available on the CIBIL portal and submit a complaint. In this method, you can write your complete problem in detail and also attach documents.
Also File a Complaint with the Bank
I always advise that along with filing a complaint in CIBIL, you should also send a complaint to the bank through email. In the email, attach the money receipt and the No Due Certificate.
This is because CIBIL forwards your complaint to the bank, and the bank verifies it and sends the update. Sometimes there is miscommunication between different departments of the bank, which causes a delay in the update.
If you send a complaint directly to the bank as well, the process can become faster.
What to Do After 30 Days
CIBIL usually says that the dispute will be resolved within 30 days. If even after 30 days the Suit Filed status is still visible in the report, then you can email the escalation desk or nodal officer of CIBIL.
If the problem is still not solved, then you can file a complaint with the RBI Ombudsman.
Meaning of “No Suit Filed”
If your report shows “No Suit Filed”, it means that no court case has been filed against you. This is not a negative status and in this situation you usually do not face any major problem in getting a loan.
2026 New Update
According to the new guidelines of the Reserve Bank of India, if an account was written off and later the customer makes the full payment, then the “Write-off” status can be removed and replaced with the “Post Write-off Close” status.
Sometimes if the customer settles the loan by taking a discount, then the “Post Write-off Settle” status may also appear.
If Your Loan Has Been Rejected
If you have applied for a loan and the bank manager has rejected your loan application because there is some problem in your CIBIL report or your CIBIL score is low, and you are not able to understand where the problem is, then you can send us your CIBIL report.
My team will analyze your CIBIL report and tell you where the problem is, why your score is low, and how it can be improved. After that, if you want to take our paid service to rectify your CIBIL report, you can do that as well.