Do You Want to Know, How to Check your CIBIL Score and What is CIBIL?

By Internal Eseo - January 18, 2018

CIBIL stands for credit information bureau India limited. These things collect and maintain your credit records of individuals as well as commercial entities for payments related to loans and credit cards. CIBIL obtains this information with the help of its associate partners which include members of banks and credit institutions. Information is provided to CIBIL on a monthly basis, based on which CIBIL prepared a credit information report and a credit score of an individual. Bases on a credit score any individual can apply for loans or credit cards.

What is a CIBIL credit score?

A CIBIL credit score is a three-digit numeric summary of individuals entire credit history. It is prepared based on the information provided to credit information report. The credit score ranges between 300 to 900 and if you have enough capability to cross this range then available for any loans or credit cards.

Why is this important to know your CIBIL score?

Without a satisfactory CIBIL score, you may not be eligible for any loans or credit cards. After you fill and submit your loan application form, a bank will first check your credit score and report. In that report, if they find you with bad credit history or low credit score, the bank may automatically reject your application form. A bank can only consider your good report for approval. CIBIL score are the deciding factors in many banks. They approved any individuals application form as per CIBIL score. The higher the score, the higher the chance of approval for your credit cards or loans.

What can affect your CIBIL credit score?

Payment history: A payment history plays an important part in developing a good record. Making late payments on credit cards or delaying on your EMIs on a regular basis can affect credit score and put a bad score in the bank.

Increased credit limit: Increasing the current balance of your credit card could be affected your credit score since it is considered to enhance your repayment burden.

Unsecured loans: A high percentage of unsecured loans such as personal loans and credit cards may affect your credit score. A balanced combination of secured loans adds a positive view to your credit score.

Multiple loans and credit cards: If you have multiple credit cards, this may affect your credit score and banks may review your application more carefully.

How you check your CIBIL score with PAN card?

To get your CIBIL credit report, need to open CIBIL online credit score request form. Enter your name as per PAN card, date of birth, gender and PAN card number. Fill your registered mobile number, residence address and Email ID. Agree to the terms and condition. And last after filling the application, click on submit button.

How to improve your CIBIL credit score?

Building a good credit score is not as hard as you think, just need to follow few steps and it will improve automatically as per CIBIL required.

Know where you stand: The first step towards building your score is to know where you stand. Having an idea about your current position and preparing a target can help you work towards it. Checking this score can also help you determine if it is factual and identify any errors if any.

Never delay for payments: Delaying your bill payments could see your score dipping, which makes timely payments a key role in maintaining a decent score. A bank may be ok and try to ignore the first delay payment but regularly brings the same behaviour, could be unwanted attention on their part.

Mix and match: Keeping a balance between secured and unsecured loans would help you enhance your image as a borrower.

Keep it low: In times where we want to enjoy things to the maximum, there is a high possibility for us to go overboard when it comes to our credit limit. Staying within the limit is bound to build your score while exceeding.

Limit your cards or loans: A quick look at our wallets will show that a number of us have more cards than we need and the problem is to that, pay all credit cards payment on time and maintain a good credit score. Having many credit cards can have own drawbacks. Not only does it complicate credit repayment, but also pushes us to spend more than we need, leading to debit in our life.

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