alexa

Search in Indianmoney's WealthPedia

Home Articles My Credit Score

My Credit Score

IndianMoney.com Research Team | Posted On Tuesday, January 22,2019, 03:04 PM

0.3 / 5 based on 5 User Reviews

My Credit Score

 

 

What Does My Credit Score mean?

Credit score is a three digit summary of credit worthiness. It is an important factor in sanctioning loans. Credit history shows if a person will repay loans and credits card dues on time. Credit reports are used to check records and history of payments made in the past. The credit report contains the summary of repayment, credit utilization and settlement of loans and enables lenders make effective lending decisions.

How to boost credit score fast?

There are no quick ways to repair credit score. You can always rebuild credit score based on better financial planning and disciplined repayments. Listed below are a few tips that help boost credit score:

  • Check CIBIL report errors: Check to see if all loan accounts in your credit report belong to you. If you find a personal loan or any loan/credit card you have not availed reflecting in your account, initiate the Dispute Resolution Process.
  • Close unused credit cards: If you have lots of credit cards and loans, then banks generally view you as credit hungry. It’s good to have only 2-3 credit cards and use them wisely. Try to close unused credit cards, especially recent ones.
  • Do not utilize entire credit limit: Try to maintain a low credit utilization ratio. 

Want to know more on Credit Cards? We at IndianMoney.com will make it easy for you. Just give us a missed call on 022 6181 6111 to explore our unique Free Advisory Service. IndianMoney.com is not a seller of any financial products. We only provide FREE financial advice/education to ensure that you are not misguided while buying any kind of financial products.

SEE ALSO: Credit Score Calculator

My Credit Score

What's on Your Credit Report?

A credit report contains the summary of loans and credit cards availed in the past. The lenders generally ask credit bureaus for the credit report to make effective lending decisions. Credit reports are important and contain detailed information on loans and credit cards, late payments if any, bankruptcies and track record of repayments.

It contains personal information, contact information, employment information, accounts information, enquiry information and so on.  In India, there are four major credit information companies (CIC) that provides credit reports of individuals. They are Experian, High Mark, Equifax and CIBIL.

How to improve credit score?

It is important to understand there are no short cuts to quickly fix credit score. A credit score is the history of repayments made by a person. Building a good credit score takes time and effort and depends on how you manage finances. Given below are some tips that help in improving your credit score:

  • Clear debts, credit card dues and loan EMIs by making payments on time. A delay in payment affects credit score. Pay all your dues at least a week in advance.
  • Make sure to check credit score regularly. You can apply for free credit report and check your credit score through IndianMoney.com. This helps stay informed and you can also locate discrepancy or misinformation, if any.
  • Make sure not to apply for multiple loans at the same time. The enquiries made by banks are known as hard enquiries and too many hard enquiries lower credit score by 5-10 points on each enquiry.
  • Avoid utilizing credit card to maximum limit. Keep credit utilization under 30% to get a good credit report. Make sure monthly credit bill does not exceed 50% of your credit limit.

SEE ALSO: How Can You Improve Your Credit Score By Availing Personal Loans?

Credit score range:

The credit bureaus assign individuals with a three digit number known as credit score. The credit score generally ranges from 300-900. A high credit score helps get loans sanctioned quickly, whereas a low credit score can lead to financial trouble. Given below are the credit score ranges and what they mean:

  • 300-550: A credit score in this range is considered as a poor credit score. It shows you have defaulted on payments and have unpaid dues.
  • 550-650: A credit score in this range is considered as an average score. You will still need to take measures to improve your credit score.
  • 650-750: A credit score is this range is considered as a good score and lenders will consider giving you credit in the form of loan or credit card. However, you might still not be in the position to negotiate a good deal.
  • 750-900: A credit score in this range gives additional power to negotiate for a better deal in terms of credit card rewards and interest rates and helps get loans sanctioned quickly.

SEE ALSO: Cibil Score For Credit Card​

How to check the Free credit score from IndianMoney.com?

IndianMoney has tied-up with Experian to offer free credit score. You can check free credit report and credit score on IndianMoney.com, which is India’s leading financial education company, educating people on misleading sales practices in the financial services sector.

Get credit score for free by entering your first and last name, email ID, gender, Date of birth, address, PIN Code, City, PAN Card and mobile number. After entering the mobile number, an OTP is generated and sent to your mobile number. Enter the OTP and tick the agreement box. Click on “get my credit report” and your credit score and credit report is displayed. 

You May Also Watch:

Iframe Content

Keep your Financial Cognizance up to date with IndianMoney App. Download NOW for simple tips & solutions for your financial wellbeing.

Have a complaint against any company? IndianMoney.com's complaint portal Iamcheated.com can help you resolve the issue. Just visit IamCheated.com and lodge your complaint. If you want to post a review on any company you can post it on Indianmoney.com review and complaint portal IamCheated.com.

Be Wise, Get Rich.

 

What is your Credit Score? Get FREE Credit Score in 1 Minute!

Get Start Now!
CIBIL Meter
Get It now!
Attention!

This is to inform that Suvision Holdings Pvt Ltd ("IndianMoney.com") do not charge any fees/security deposit/advances towards outsourcing any of its activities. All stake holders are cautioned against any such fraud.