Legal requirement for banks to reassess loan applications based on revised credit scores.

JUDGMENT

1. The Petitioner’s application for educational loan was returned on the ground of low CIBIL score of his mother, who is shown as co-borrower. When this Court considered the matter earlier, the learned Counsel for the Petitioner had submitted that the Petitioner is ready to substitute the co-borrower with a person having a sufficient CIBIL Score.

2. When this matter is taken up today, the learned Counsel for the Petitioner invited my attention to Ext.P10 produced along with I.A. No.1/2026 in which the CIBIL score of the co-borrower in the Revised Application for loan is 777. In such case, it is for the Bank to consider the Revised Application for the loan. The Counsel for the Respondent Bank submitted that some documents are deficient and the Bank will communicate the same to enable the Petitioner to provide the same.

3. Taking note of the said submissions, I dispose of this Writ Petition directing the Respondent Bank to consider the Revised Application for education loan submitted by the Petitioner within a period of two weeks from the date of receipt of a copy of the judgment.

Sd/-