Check Free CIBIL Score to understand your financial capabilities CIBIL Score plays an important factor in your loan or card approvals because it represents your financial integrity. The bank or NBFCs would provide a loan or credit card to an individual who is capable enough to repay its interest rates and EMIs on time. And the bank or any other financial institute knows one’s repayment capacity through the CIBIL Score. That’s why you should maintain a good CIBIL Score for instant approvals. But how can you check CIBIL Score? You can check CIBIL score from CIBIL, which is a known online credit bureau in India. Read this article to know about CIBIL Score & importance of a good CIBIL score. What is a CIBIL Score and how to estimate it? CIBIL Score is a 3 digit number that ranges from 300 to 900 which shows your credit history to the bank or financial institute. You can know your CIBIL Score easily by checking it through an Online credit bureau like CIBIL. To check free CIBIL Score from the CIBIL first, you need to create an account by putting your details inside the form. The details may include your mobile number, name, email id and PAN details. After mentioning the details you have to click on the button “Accept and Continue” for identity verification, then an OTP will be sent on your registered mobile number. Enter that OTP on the verification box and click on “submit” to check free CIBIL SCore report. Advantage of a good CIBIL score in comparison to a bad score A good CIBIL Score is considered to be 750 and above while below 750 the score is considered poor. High CIBIL score indicates that you have zero defaults on your previous loans and cards which makes you eligible for any type of secured and unsecured loan. It is a fact that 79% of loans are sanctioned by the bank or NBFC for the people whose score is 750+. If your score is above 800 then you can easily ask for a lower rate on personal loans and credit cards. Because if you have a good score and apply for an unsecured loan, then the bank might not investigate further. On the other hand, a poor CIBIL score shows that you have delayed or defaulted on your previous loans or card payments. Personal loans can be difficult to obtain from a bank or through any other private financier if your credit score is low, because they may levy heavy interest on your loan amount. Sometimes the bank or financial institutes also investigate further and impose slightly higher rates. So, you must try to improve your score to get a suitable loan and credit card at a reasonable rate of interest. Steps by which you can improve your CIBIL Score
Scheduled bill and EMI payments: you can improve the score by making timely payments of your credit card bills and loan EMIs.because if you unable to pay the EMI or bill on the scheduled time then it will affect your CIBIL Score. Don’t over-limit your card: try to use your credit card within the limit, because overuse of the card may result in high credit utilization ratio. Never apply for multiple loans: if you apply for maximum loans at a time then it may affect your CIBIL score and decrease it constantly. So, it is necessary to check CIBIL Score to get updated with your credit report.