can i get loan after credit card settlement?????

[tanul8485]

I have a HDFC credit Card .. The total amount on my card is Rs. 88,326.00 and the principal outstanding amount was Rs. 40,000.00

I spoke to bank and they agreed to settle my account on Rs. 35000.00, but they said it will be reflect as SETTLED in CIBIL.
 
So my question 2 u and 2 cardbhai is, `

1. What will be status of my CIBIL account after settling the account? If it will reflect as "SETTLED", will there be any problem in future?

2. Will i get a loan or credit card in future if i will settle my credit card account for Rs. 35000.00

2. What will be status of my CIBIL account after settling the account?

3. how much time does it takes after the settlement for CIBIL ratings to improve?

4. How can i improve my CIBIL score?

Also, its just a SETTLEMENT, and i have not paid them in full, does CIBIL entertains/considers SETTLEMENT CASES to change the account ratings of an individual in their database?

Please let me know ASAP and Many thanks in advance.

[cardbhai]

1. Yes Status will be Settled. This means you have not Paid your former Financial Institution the full amount you owed. However, we have to come know that Accounts Settled less than Principal Amount borrowed can be reopened again for recovery. So at least Pay the Principal amount and some more on top of it.

2. Probably Not. Most Credit Card Decisions are Automated and the moment they see Settled and Low Credit Score, they will decline it.

3. Settled Status will remain for atleast 7 years or more depending on the credit bureau.

4. To Improve your CIBIL score, get a Guarantor for a Small Bike Loan or Small Personal Loan, pay it regularly for 12 to 24 months and you will be able to rebuild your history.