MADURAI: Observing that refusing to process an educational loan application on the sole ground that the parents’ CIBIL score is poor is against principles of civil law and equity, the Madurai Bench of the Madras High Court set aside an order passed by the State Bank of India, rejecting the loan application of a Madurai-based student.
Justice M Sundar passed the order, “It is a matter of first principle in civil law that a person inherits assets from predecessors / parents and passing on of liability, if at all, is limited to the extent of the estate inherited.” der on a petition filed by one R Gayatri of Madurai seeking direction to reconsider her loan application after the same was rejected by the Othakadai branch of SBI citing her parents’ CIBIL score.
The judge noted, “It is a matter of first principle in civil law that a person inherits assets from predecessors/parents and passing on of liability, if at all, is limited to the extent of the estate inherited.” Hence, refusing to process Gayatri’s application on the ground that her parents’ CIBIL score is poor is clearly opposed to first principles of civil law besides being opposed to well-established canons of equity, he added.