Every citizen’s PAN card serves as a key identifier for most financial transactions in India, linking income, investments, bank accounts and loans to a single identity.
This central role makes the PAN indispensable for tax compliance and financial transparency, but it also makes it a prime target for fraudsters. With just a copy of a PAN card, scammers can misuse the information to open bank accounts, apply for credit cards or even take out loans, often without the individual’s knowledge.
Such misuse typically comes to light only when victims receive recovery calls, credit score alerts or tax notices for transactions they never made. Several cases have been reported with similar incidents, where victims complained that unauthorized loans had been secured under their names, which in turn significantly impacted their financial health.
Here’s a detailed guide on how to check whether someone has taken a loan by misusing your PAN and the steps you should take to avoid such fraud.
How to check for loans on your PAN card?
- An individual can check whether their PAN number has been misused by simply generating a credit report.
- You can access your credit report by visiting the official websites of credit bureaus such as CIBIL, Equifax, Experian or CRIF High Mark.
- Provide your PAN and other basic details on these websites and then download your free annual credit report (each bureau offers one free report per year).
- You also have the option to visit fintech platforms such as Paytm or Bank Bazaar to check your financial reports.
Through your credit report, you can detect whether any loans have been disbursed under your name.
Here’s what to look for
- You can check for all active loans and credit cards under your name.
- Check the loan amounts, lenders, and their repayment status.
- Watch out for any unfamiliar accounts or loans that you do not recognize, as these could be signs of fraud.
- If accounts are opened in cities you have never lived in, that is also a matter of concern.
- A sudden drop in your credit score is another strong warning of fraud.
How can you protect yourself from such fraud?
- Ensure that you are never sharing your PAN details on unsecured websites or with unknown agents who could misuse them.
- Keep a thorough check on your credit report. Don’t forget to generate your credit scores and look for red flags at least twice a year.
- Enable SMS/email alerts for loan approvals with your bank.
As several controversies have emerged regarding the misuse of PAN cards to obtain personal loans through fintech apps, it has become increasingly important for individuals to remain vigilant and ensure that their personal credentials are not compromised.
