How to Check if a Loan Has Been Taken on Your PAN Without Consent

Digital transactions have made banking and credit processes faster, but they have also created new opportunities for fraudsters. One emerging scam involves misusing an individual’s PAN card details to take out loans fraudulently. Since a PAN card is linked to your credit profile, any loan—whether authorised or fraudulent—directly affects your credit score and borrowing capacity. It is, therefore, essential to monitor your financial health and take preventive steps to protect against such scams.

Why PAN Card Fraud is a Serious Issue

Your Permanent Account Number (PAN) is not just an identity document but also an essential link to your financial records. Any misuse of your PAN details can tarnish your credit history and reduce your chances of availing genuine loans in the future. Fraudulent loans can also put you in a legal and financial struggle, as recovery agents may approach you for payments you never borrowed.

Step 1: Check Your Credit Report

The first and most reliable method to confirm whether a loan has been taken against your name is to check your credit report. Credit bureaus such as CIBIL, Experian, Equifax, and CRIF Highmark provide detailed reports showing all active and closed credit accounts. Reviewing this report will help you identify loans or credit cards linked to your PAN. Many of these bureaus allow you to download at least one free credit report per year, making it easier to monitor.

Step 2: Monitor Credit Inquiries

Even if you do not find any unauthorised loan in your report, fraudulent attempts may still be visible in the form of hard inquiries. Each time a financial institution checks your credit profile for loan approval, an inquiry is recorded. If you notice inquiries from lenders you have never approached, this is a warning sign of possible identity misuse. Multiple hard inquiries can also reduce your credit score, so it is crucial to report them promptly to the bureau.

What To Do If You Are a Victim

If you discover that a fraudulent loan has been taken in your name, act quickly to prevent further damage. Begin by writing a detailed complaint to the concerned bank’s manager, explaining the fraudulent activity and seeking a written acknowledgment. Simultaneously, register a complaint with the bank’s fraud department.

The next step is to visit your local police station and file a First Information Report (FIR) to officially record the fraud. Keep a copy of this FIR for future reference. After that, compile all your documents, including your complaint to the bank, the FIR, and any communication related to the scam, and escalate the matter to the Reserve Bank of India (RBI) Ombudsman via email. This layered approach ensures that your complaint is legally documented and acted upon at multiple levels.

How to Avoid PAN Misuse

Prevention is always better than cure, especially when it comes to financial identity theft. Be cautious about where and how you share your PAN card details. Do not provide photocopies of your PAN card to unverified retailers, shady websites, or WhatsApp forwards. Always blur or mask sensitive details before uploading documents online.

If you have misplaced your PAN card, immediately apply for a duplicate through official channels. In the following months, make it a practice to check your credit report to ensure there has been no unauthorised activity linked to your PAN.

Secure Your Financial Accounts

Apart from monitoring your PAN usage, strengthening the security of your financial accounts is equally important. Set strong, unique passwords for your online banking and investment accounts. Enable two-factor authentication wherever possible. Opt for SMS and email alerts for every loan application or credit inquiry linked to your PAN. These alerts can help you take instant action if suspicious activity occurs.