CREDIT SCORE

HOW TO IMPROVE YOUR CREDIT SCORE

Published By Livemint | 31 Mar, 2023

CREDIT SCORE

Depicts a person’s ability to repay debt, ranges from 300-850

GOOD CREDIT SCORE

It is also known as CIBIL score. The value above 750 is considered very good

POOR CREDIT SCORE

Credit score below 300 is considered very poor

BENEFITS OF HIGH CIBIL

Faster loan approvals, high chances of getting lower interest rates

HOW TO ATTAIN CIBIL ABOVE 750

Obtain credit report from CIBIL and review it for any errors

BE PUNCTUAL

Pay your bills on time, can use automatic payments or reminders

CREDIT UTILISATION

Keep your credit utilisation below 30% of your credit

MIX OF CREDIT

Diversify your credit source by using credit card, personal loan, or home loan
Credit : Pexels

AVOID TOO MUCH CREDIT

Avoid multiple loans or credit cards in a short period of time
Credit : Pexels

PAYMENT HISTORY

Take credit to build your credit history for an improved CIBIL
Credit : Pexels

DON’T SHUT OLD ACCOUNTS

Don’t close old credit accounts with a long credit history to ensure better CIBIL
Credit : Pexels