STD, LSS & DPD in CIBIL Reports: Meaning & Differences

Credit Information Bureau India Limited (CIBIL) collects and maintains information on an individual's credit history and assigns them a credit score. Within the CIBIL report, certain terms like STD, LSS, and DPD are used to indicate the payment behaviour and creditworthiness of individuals. Understanding these terms and how they influence your CIBIL score is crucial for managing your credit profile effectively.

Let's delve into the meanings and full forms of STD, LSS, and DPD in CIBIL, their differences, and the format of the CIBIL report. Keep reading!

What is STD in CIBIL?

The full form of STD in CIBIL denotes ‘Standard’ and is used in the CIBIL report to identify a credit account where the borrower is making timely payments without any delays. STD means good repayment history and responsible credit behaviour; it's considered a positive remark in the credit report. Payments are considered on time if made within 90 days of the due date.

What is LSS in CIBIL?

LSS stands for ‘Lender Settled Status’ and is used in the CIBIL report to indicate that the borrower has settled a credit account with the lender by paying a reduced amount, usually after negotiations. LSS is considered a negative remark as it indicates a partial settlement of the debt, which can hurt the CIBIL score and negatively impact the overall credit history.

What is DPD in CIBIL?

DPD full form stands for ‘Days Past Due’ and is used to indicate the number of days a borrower's payment has overshot the due date on the CIBIL report. It measures the payment delinquency of an individual, indicating delayed payments, and is categorised into different buckets, such as DPD 30, DPD 60, DPD 90, etc., based on the number of days the payment is late.

Difference Between DPD, LSS, and STD in CIBIL

The main differences between STD, LSS, and DPD in CIBIL can be summarised as follows:

• An STD status reflects consistent, timely payments as per the original loan terms..
• LSS represents a settlement with the lender for a reduced amount, which can negatively affect creditworthiness.
• DPD, used in the event of overdue payments, measures the number of days a payment is overdue and reflects payment delinquency.

Here is a table representing the differences between LSS, DPD and STD status in the CIBIL report:

Format of DPD in CIBIL Reports

The DPD information in the CIBIL report is usually presented in a tabular format in your credit report. It includes details like the account name, account number, date of last payment, current outstanding balance, and the number of days the payment is overdue. The DPD column displays the status of the payment in terms of the number of days past due for different credit products.

Format of STD CIBIL Report

The STD information in the CIBIL report is generally presented in the account details section. It includes information about the account name, account number, type of credit, outstanding balance, and payment history. An "STD" remark next to an account signifies that the borrower has been making regular and timely payments.

Types of Asset Classification of LSS in CIBIL

LSS classification in the CIBIL report is related to the classification of assets by lenders. Lenders classify their assets into different categories, such as Standard, Substandard, Doubtful, and Loss, as per their internal policies. LSS indicates that the account has been classified as "Lender Settled Status," indicating that the borrower has settled the debt for a reduced amount.

Impact of DPD, STD, and LSS on Financial Stability

Your creditworthiness plays a significant role when you apply for credit from a financial institution, as your CIBIL score is analysed before loan approval. Hence, DPD, LSS, and STD in CIBIL come into play when you seek a loan from a financial institution.

These components can influence the decision of lending organisations regarding your loan eligibility, as they play a pivotal role in determining your credit score. Having too many DPD and LSS remarks can reflect financial instability, restricting you from getting credit in case of a financial crunch.

Benefits of Resolving DPD, STD, and LSS

It is important to resolve the DPD and LSS remarks on your credit report, as they talk about your adverse financial health. Additionally, if you have a good credit score, it's important for you to spot and report STD errors that could negatively impact your score. Its key benefits include:

• Better Creditworthiness: By constantly monitoring these components, you can manage your credit health and improve your CIBIL score to get approval when applying for a loan from financial institutions.  
• Raising Disputes on Time: It will also enable you to identify the discrepancies and take corrective measures before they affect your credit report. 
• Improves Chances of Loan Approval: In addition, it boosts your chances of availing a Personal Loan from recognised financial institutions, like Poonawalla Fincorp, with favourable terms and at competitive interest rates. 

ALSO READ:- How to Rectify CIBIL Report Mistakes?

Strategies for Enhancing Your Creditworthiness

Now that you have understood what DPD, LSS and STD mean in CIBIL, you must learn how to enhance your credit score. Here are a few strategies you can follow to enhance your creditworthiness and showcase a positive CIBIL report:

• Regular Credit Score Checks: Regularly check your credit score to know where you stand and report any discrepancies or errors to the credit bureau via the CIBIL website.
• Timely Payments: Be regular and disciplined with your monthly credit card payments and clear all your outstanding dues to start afresh.
• Maintaining Credit Utilisation Ratio: Maintain a Credit Utilisation Ratio (CUR) below 30% to increase your creditworthiness and get a good CIBIL score.
• Choosing the Right Loan: Whether it's a personal loan or an education loan, choose the right credit product according to your financial requirements. This ensures the repayment policies are attuned to your needs and capabilities.
• Strategies: Make a strategy to repay your credit before the due date and avoid defaulting to maintain a healthy CIBIL report.

Avoid Multiple Loan Applications: Avoid applying for multiple loans at the same time, as it can adversely affect your score.

To Conclude

Understanding what DPD, LSS and STD mean in the CIBIL report is crucial for managing your credit score and monitoring your finances. It enables you to maintain a good repayment history and get credit at lower interest rates from financial institutions. 

However, you must regularly check your credit score to maintain a score above 750 and retain a positive status on your credit usage. Doing so can help you opt for a loan at attractive terms from Poonawalla Fincorp to fulfil your monetary requirements. 

Frequently Asked Questions

Is an STD in CIBIL good or bad?

Standard or STD is a positive remark in the CIBIL report. It indicates that you have been making on-time payments regularly of your dues without any delays. STD implies good credit behaviour and positively impacts your credit score. 

What is the full form of DPD in CIBIL?

DPD stands for Days Past Due in the CIBIL report and indicates the number of days a borrower’s payment is outstanding. It affects the borrower's credit score adversely and measures their payment delinquency, reflecting on their payment history. 

What is the highest CIBIL report score?

The CIBIL score ranges between 300 and 900, where 900 is the highest. Having a higher credit score implies that the borrower has a stronger creditworthiness, increasing their chances of credit at favourable terms and conditions. Any credit score of more than 700 is considered a good credit score, reflecting well in your CIBIL report.

How many marks are there in LSS?

LSS (Lender Settled Status) does not have a specific scoring system or "marks" like a credit score. It represents a negative remark in the CIBIL report, indicating that the borrower has settled a credit account with the lender for a reduced amount. LSS can affect creditworthiness and may be classified under a special mention account, affecting future credit applications.