Ernakulam: The Kerala High Court gave a judgment saying that education loans must not be denied in the name of low CIBIL score. The court also ordered that the banks must show humanitarian considerations in these situations.
The verdict was handed out by Justice PV Kunhikrishnan. The HC’s verdict comes in a case involving the rejection of education loan by a bank to a student, whose father had low CIBIL score.
According to a report, the court observed, “Students are the nation builders of tomorrow. They have to lead this country in future. Simply because, there is low CIBIL score to a student, who is an applicant for Education loan, I am of the considered opinion that Education loan application ought not have been rejected by Bank.”
The HC gave the verdict on a petition filed by Noel Paul Frederick. The court also ordered the State Bank of India to provide Noel the education loan amounting to Rs.4.07 lakhs.