[2022] What is CIBIL score? | How to check CIBIL score?

How much CIBIL Score is Best? | How to check CIBIL Score? | What is CIBIL score? This all queries are solved in this article

What is CIBIL Score?                           

CIBIL i.e. Credit Information Bureau (India) Limited generates a score for each credit card holder which is called cibil score.

The score is calculated by the credit card holder’s credit history. Do you repay the loan on time? Do you have a good credit history? This determines your CIBIL Score.

This is a three-digit score that measures your ability to repay the loan. And from this score, the bank decides whether to give you more loan or not, and if you have a good CIBIL Score, you can get a loan at a lower interest rate.

How to check CIBIL Score?

Every credit card holder or regular interest payer should check their CIBIL score regularly every month.

You can check this score for free. You can check your CIBIL score using the following steps:

To check your CIBIL score you need to visit the official website of CIBIL

what is cibil official website?

To visite official website of CIBIL– click here

Now a website page like this will open in front of you:

  • On this page you have to fill complete information like your full name, e-mail, pan card number etc.
  • Then after this you have to click on Accept & Continue to proceed to the next step.
  • In this you will have to answer some questions and verify yourself.
  • This way you can check your CIBIL score. This score is updated every month.

How much CIBIL Score is Best? 

  • CIBIL Score is calculated between 300 to 900.
  • A score of 300 is considered very low and very poor; A score above 750 is considered very good.
  • Below you are given the range of CIBIL score and what it means in the banking sector
CIBIL SCORE     Meaning
0-1If your CIBIL score is 0 or 1, it means you haven’t taken any credit card debt yet.
350-550A score of 350 to 550 is considered very low and this score means that you are defaulting on bank payments and your chances of getting a new credit card and getting a new loan are very low. And so this is the hour of danger for you.
550-650A score of 550 to 650 is considered moderate. This means that your credit card payments are fairly regular. And you are eligible for more loans. So you get a loan without much hassle.
650-750A score of 650 to 750 means that you are repaying the loan very well. So all the banks will be ready to lend to you. You just can’t talk to him about interest rates.
750-900750 to 900 is the best score. This score means that your transaction is very good and you repay the loan on a regular basis. Not only are all the banks ready to lend to such individuals, but they can also get loans at low rates.

How to increase your CIBIL Score?

Borrowing is not a wrong thing, rather loan is very necessary for business and business growth. Big companies also take a lot of debt.

You just need to be able to manage the use of that loan. Otherwise, our financial growth may be stunted by being burdened by debt.

Below are some tips to increase your CIBIL score:
  • Don’t borrow more than you need
  • Borrow 50% less than your credit card limit.
  • Always repay the loan on time as this will boost your score and give you an advantage in interest rates.
  • Check your CIBIL score regularly. This will keep you focused on your CIBIL score and avoid additional debt.
  • Also inform concerned banks immediately if any error is found in CIBIL score.

Summary:

The CIBIL score is very important for getting a loan in the future and it depends on your ability to repay the loan.

But even if the CIBIL score is low, it is not necessary to get a loan. You can convince your bank that you are going to use the loan for good business and you can repay the loan. And you can get a loan.

Also read This : Cibil score information in Marathi

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