Credit Score is a 3-digit creditworthiness number. This score is from 300 to 900 and your track record of previous credit card loans is measured. Banks and other lenders tend to offer new loans and credit cards to a high credit score, typically over 750. Market credit score can be reviewed by numerous credit offices, including CIBIL, for free here, with monthly updates. This is viewed as a soft inquiry, has no effect on your score and is followed by simple monthly monitoring to help construct your credit score. The credit score is collected from credit agencies, CIBIL and Credit Information Bureau (India) limited, among others. It is India's oldest credit reporting company, known also as Trans Union CIBIL (CIC). CIBIL collects and preserves credit details of all Indian borrowers, as reported monthly to them by banks, NBFCs and other institutional lenders, as other Credit Agencies such as Experian, Highmark and Equifax. Anyone who has taken any credit card or loan would have a score of 900 CIBIL.
HOW CAN I CHECK MY CREDIT SCORE FOR FREE?
Follow the below steps to get your free Credit Score:
- i.Visit Credithelpindia credit score Page
- ii.Enter your first and last name.
- iii.Add your mobile number and e-mail ID.
- iv.An OTP will be sent to your mobile number for verification.
- v.The next step would be to verify your age.
- vi.Your credit score and your report will be then displayed on the screen.
HOW CAN I CHECK MY CREDIT SCORE WITHOUT AFFECTING IT?
The credit score is collected from credit agencies, CIBIL and Credit Information Bureau (India) limited, among others. It is India's oldest credit reporting company, known also as Trans Union CIBIL (CIC). CIBIL collects and preserves credit details of all Indian borrowers, as reported monthly to them by banks, NBFCs and other institutional lenders, as other Credit Agencies such as Experian, Highmark and Equifax. Anyone who has taken any credit card or loan would have a score of 900 CIBIL. You may not affect your loan score if you make a soft inquiry (check your own credit report). If your own credit report is reviewed, it means that you are responsible for and monitor and attempt to correct any mistakes in your report. Make sure your credit score is reviewed regularly to track any potential mistakes. The CIBIL website still gives you a free credit score.
HOW CAN I QUICKLY RAISE MY CREDIT SCORE?
For a personal loan, the minimum CIBIL score is 700 or more. Anything less than 700 may be of concern. But it's not all gone. While your loan value cannot change overnight, major and small improvements in your financial habits can make a significant difference. Find out how to increase your CIBIL score in the following ways:
1)Repay Credit Card Dues on Time
Paying outstanding credit bills will help to increase your loan score. The only way to prevent late payment penalties will be to join the basic amount payable cycle as seen in the credit card statement. The minimum amount owed for this period is roughly 5% of the amount for the billing. However, in the following period this would lead to the addition of interest and taxes and to a mountain of debt. Not only does payment of duties in time keep interest from mounting, it also helps to increase your loan score over the long term.
2)Limit Credit Utilization
You can avoid harm to your credit score by using less than 30% of the credit card cap. However, it will adversely impact the credit score if the credit card is not used. You should pay your card dues well in advance. It is recommended. It is advisable to use a higher credit limit of more than 30% on your credit card, which will help you rapidly raise your credit score. In addition, your requests for loans are recommended. The application of many loans may also have a negative impact on your score.
3)New Credit Cards
Be cautious with the credit card application. Although credit cards may be useful when applying for loans, it can prove detrimental to have too many credit cards and to buy high value. It is a good idea to verify your eligibility to qualify for a credit card and to apply to banks where you have a better chance of securing your loan request. This is because it can negatively impact your credit score, as well as spending excessively on your credit cards, if you apply for credit cards from many banks. Make sure you have a fair distance between applying to discourage lenders from thinking that you chase credit. When you can repay credit cards, applying helps to add points and increases your credit score.
4)Keep a Check on Your Credit Report
A 2012 Federal Trade Commission study showed that about 20% of consumers in their credit report had a mistake. A repeat study conducted in 2015 showed that clients reporting an unresolved mistake still felt the report was incorrect. Keep checked for irregularities and mistakes on your credit report from time to time. Credit offices are legally bound to send one free loan report per year to borrowers. The credit history management method has also been streamlined by online markets. The report may contain errors such as misinformation, delay in the update of the report or a delay in updating the report. These mistakes will affect your credit value negatively. Errors, if any, can be immediately identified and corrected.
5)Opt For Different Types of Credit
Credit is beneficial when it is acquired wisely, since a person who has never earned any sort of credit usually receives a lower CIBIL score, making receiving loans difficult. It is therefore advisable to have a mixture of personal and secured loans as well as short-term loans in your portfolio in order to boost your credit history. This move will help to increase the odds of a higher loan and a lower interest rate when you want to request a loan.
6)Increase your Credit Limits
By rising your credit limit, your credit use ratio will automatically decrease and your credit score increases. By using the credit limit above a certain limit, you will become a high risk borrower in the credit scoring models. As you use the full credit cap (or above a certain limit), the credit use ratio dramatically increases, raising the likelihood of default. Although the risks apply distantly, your credit score would be affected negatively. Therefore, before any new expenditures it is better to increase your credit limit. Through doing so, your credit can be handled wisely and your credit intake can be kept minimal, increasing/preserving your credit score.