Regarding Loan Default due to Bank's Mistake


KF Rookie
Hey Folks,

Hope y'all are doing well in your life as well as in your finances.

Had a question on the basis of one of my friends incident on the Loan Default, if you know then only please genuinely help.

Context: One of my friend took loan of 5 lacs Education Loan from one of the public sector national bank (μ) ifkyk.
So he was paying EMI of the loan amount from his account, he used to put that required(EMI) amount of money in that account(from where EMI gets debited) before the date of debit say 26th is debit date of the month, he used to put that required money in that account around 20th of every month.
But Suddenly in one of the month the EMI didn't debited even though the required EMI amount was there in the account before the Debit Date but due to failure of bank's server the EMI didn't debited on that date (saying the required amount was not available) even consider additional 2K was available there in the account apart from the required EMI amount. Even after that his EMI got defaulted for that month due to Bank's Fault.
His Credit Score got reduced from default of ~745 & dropped to some ~675 due to one month loan EMI default.

He spoke to bank with very strict language & even to Bank's manager, Tweeted about the same on X (formerly Twitter) tagging bank & RBI . But Nothing happened.

*QUESTION*- Can anybody help us to know, how we can get back that default good credit score of ~740ish & also how can we reach to RBI for this case as it was due to Bank's blunder.

Also, help us to know how we can get credit cards as HDFC, ICICI such banks are denying to give credit card due to low credit score??

Only genuine people who know/faced this issue. Please help us out.

Here is a corrected and improved version of your response:
You can try the following:
  1. File a complaint with the RBI Ombudsman. The RBI Ombudsman is a government official who investigates and resolves complaints against banks and other financial institutions. You can file a complaint online or by mail.
  2. Dispute your credit report with the credit bureaus. The credit bureaus are responsible for maintaining your credit report. If there is inaccurate or incomplete information on your credit report, you can dispute it directly with the credit bureaus. There are several apps that can help you with this, such as OneScore.