Key Things to Keep in Mind While Closing Your Loan Account

By Sheetal Kumari | March 3, 2025

MC Desk | June 25, 2025

Key Things to Keep in Mind While Closing Your Loan Account

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Once your loan is fully paid, ask the lender for an NDC. This proves you have no outstanding dues.

Collect No Dues Certificate (NDC)

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Get a receipt or written confirmation for your last EMI or foreclosure payment.

Take Final Payment Acknowledgment

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If it was a secured loan (home, auto), collect original documents like property papers, RC, etc., from the lender.

Retrieve Original Documents

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Verify that the loan account shows Closed or Settled in your credit report within 30–45 days.

Check Credit Report After Closure

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Ask your lender for an official loan closure letter with all details – useful for future reference or disputes.

Obtain a Loan Closure Letter

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Confirm the lender has informed all credit bureaus about the loan closure to protect your credit score.

Update CIBIL and Other Bureaus

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Store all loan-related documents, closure letters, and receipts safely.

Keep All Records Safely

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Moneycontrol advises users to check with certified experts before taking any investment decisions.

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