Checking your CIBIL score becomes important when you have to apply for a credit facility. Be it a loan or a credit card, lenders would want you to provide your CIBIL score. This score is a numerical representation of your payment history.
It ranges from 0-900 and the average score considered by lenders for all kinds of products is 750 or above. So, you when you go for CIBIL check, you would notice the score. In this article, we have mentioned the steps you have to follow to check your CIBIL score.
How can you check CIBIL score?
You can follow the below steps in order to check your score online:
- Go to check CIBIL score check website
- Provide your full name as mentioned on the PAN card
- Enter your Date of Birth
- Choose the gender you belong to
- Mention your PAN card number
- Enter your contact address
- Provide the email ID fn which you want to get the credit report
- Enter your mobile number
- Submit the form
On the successful submission of the CIBIL score form, you will get a confirmation on your email ID. You will get the detailed credit report on the email ID you have provided.
Factors Affecting CIBIL Score
There are certain basic but important factors that affect the credit score of the individual. If you manage to keep these things in mind, it will really be helpful for you.
- Avoid carrying credit cards who are of no use to you.
- Do not increase your credit limit as it affects your credit score.
- If you are using more than 50% of your credit card limit, it will affect the score.
- No-loan people also have a bad score of no credit score.
- Prepayment of the loans also affects the credit score.
- Late payments of the loan EMIs or the credit card bill.
- Positive payment history will help build a good CIBIL score or credit score.
How to improve CIBIL Score?
Here are some of the best options in front of you to improve or generate a good CIBIL or credit score.
- You can apply for a loan a credit card
- Avoid unnecessary usage of credit cards.
- Try to maintain more than 50% of your credit card limit.
- Increase your limit in case you are sure of using it in a disciplined manner.
- If possible, do not go for prepayment of the loans as it affects the credit score.
- Pay your loan EMIs or the credit card bill on time.
Should you check credit score frequently?
You will always find people discussing the perfect time interval to check the score. You would be happy to get the answer here. If you are checking your credit score every now and then, you are making a big mistake. Yes, you should not continuously do it for fun because doing so hampers it.
Your loan applications may get rejected if your score is not upto their criteria which is generally 750 or above. Depending on your score, you can look for measures that can help you improve it. For instance, if your score is below 550, it means you are either a defaulter or do not want to repay the debt.
In this case, your first motto should be to settle the debt with the bank otherwise you will a defaulter forever which means you won’t get any kind of loan. Read below some simple ways to improve your CIBIL score.
What does a bad CIBIL score mean?
A credit score is based on the factors as mentioned here:
- The repayment history (35%)
- The amount you owe to lenders (30%)
- Number of years of servicing debt (15%)
- Number and amount of recent loans taken or applied for (10%)
- The Credit Mix (10%)
With all the above information, we hope that you find the procedure simple and beneficial.