With digital scams on the rise, cases have emerged where unknown individuals fraudulently take loans in the name of a person using their PAN card details. The PAN is linked to a user's credit report, and any loan taken using it, whether with or without consent, has an impact on the credit rating and borrowing capacity.
When it comes to managing your financial health, it is imperative to check what loans are active under your name. Here are some of the methods to check if your details have been misused to avail a loan, often a part of an identity theft scam.
Check credit report
The first step to check if any loan has been taken under your PAN is to analyse your credit report. Credit bureaus like CIBIL, Experian, and Equifax provide detailed credit reports that list all active and past credit activities.
Record inquiries
If there is no loan against your name, it doesn't mean your PAN card details have not been misused. Check the number of inquiries made on your account. If you see some suspicious details, report them to the credit bureau, as hard inquiries can have a negative impact on the credit score.
Also Read | No More CIBIL Checks? New Credit Initiative Promises Faster Loans, Wider Access
What if you are a victim?
If a loan has been taken in your name by a fraudulent actor, take the following steps:
- Write a detailed complaint to the bank manager and seek acknowledgement.
- Register complaint with the bank.
- Visit a police station and register an FIR.
- Collate the details of the scam, complaints to bank, police and send an email to RBI ombudsman.
How to avoid PAN misuse?
With Aadhar card details and PAN card number required during most business transactions, users are advised to stay cautious. Do not provide information about your PAN card to unsafe sites, WhatsApp forwards and shady retailers.
If you have misplaced your PAN card, apply for a duplicate and review your credit report in the next few months. Maintain strong passwords for financial accounts and enable SMS/email notifications for loan or credit applications linked to your PAN.
