How much is your CIBIL score?

When you apply for a loan or credit card, the principal thing that the loan specialists check is candidate's CIBIL or credit score. Along these lines, what's really going on with the score and why the element is by all accounts critical for the money endorsements.

CIBIL or credit score is a three-digit number going somewhere in the range of 300 and 900 that assesses a individual’s credit conduct. It is said that higher the score, better are chances of advance or credit card endorsements. Also, people can haggle for lower financing costs if there should be an occurrence of unstable credits like individual advance.

A record of loan repayment is a record of person's reimbursement conduct of past or existing obligations. The score is generated through information from banks, credit information companies, and collection agencies. An individual’s CIBIL score is generated using mathematical algorithm to predict how creditworthy you are.

The CIBIL score range in India starts from 300 and ends at 900. The closer your CIBIL score is to 900, the higher your chances of getting your loan approved at attractive interest rates. 

CIBIL score NA/NH;

The CIBIL score signifies “not applicable” or “no history”. This online credit score means you either haven’t taken a loan or used a credit card and have no credit history.

CIBIL score 350 to 549;

If this is your online CIBIL score, it is considered bad and you’re highly unlikely of getting a loan sanctioned. Your CIBIL report will have late payments of credit card bills and EMIs, or loan defaults. A poor CIBIL score identifies you as a high-risk borrower who may turn into a defaulter.

CIBIL score 550 – 649;

This range of CIBIL score is considered fair. The online CIBIL score depicts that you are struggling to clear your dues and monthly instalments on time. Here, your credit score and credit report may qualify you for loans at steep interest rates.

CIBIL score 650 – 749;

Your CIBIL score is considered decent. With good credit behaviour and disciplined repayment habits, take your CIBIL score up. Lenders will check your online CIBIL score and consider your loan application. However, at this CIBIL score you may not receive the most favourable loan terms.

CIBIL score 750 – 900;

This is an excellent CIBIL score range. The online credit score indicates that you have regularly repaid your loans and cleared pending credit card dues on time. With your credit report, you’ll be considered a low-risk borrower. Lenders will perform CIBIL score check online to offer more competitive interest rates and bigger loan amounts.

HOW TO IMPROVE CIBIL SCORE?

• Pay your outstanding loan instalments on time.

• Avoid applying for multiple credit cards or loans simultaneously.

• Ensure of not exceeding 30 to 40 percent of your credit card limit.

• Don’t make frequent loan enquiries.

Click here to get your free CIBIL score and report instantly