Get to now about your Cibil Score
A score is something which can be defined as a single number which impacts the entire financial life of a particular life. Various credit bureaus can calculate this score.
The lenders evaluate and assess the behaviour of their borrower’s ad, thereby sanction the loan. Like a report card or the student percentile, the same way is the role of one single score. Higher the credit score, it is better. It goes from a range of ascending to descending.
800 to 850: excellent
740 to 799: very good
670 to 739: good
580 to 669: fair
300 to 579: very poor
We all aspire to get fast and quick loans with a low rate of interest.
In order to achieve this, we need to follow a few steps :
Step 1 :
Awareness and educating oneself :
You need to aware of yourself. The more educated you will be, the higher would be the success rates. You know about what si credit score and its roles. Dive down into the functions related to credit score.
NOTE: Each and everything is noted and recorded and cannot be hidden.
Payment history: Do you pay on time, late, before time? What is your pattern? Note and watch.
Credit utilization: The ideal utilization ratio as per the guideline should be less than 30 %. Are you making an overuse or underuse of your credit? Are you make ideal and desirable use of your credit?
The average age of your accounts: In case you have a higher range of accounts, this a good sign. This shows you are financially active and can cope with further financial transactions. This is something which probably can win the trust of the lenders.
Types of accounts: Always having a mixed portfolio is considered to be good. Having instalments and the revolving account is good. Similarly, having a form of both debt and equity mix is a quiet, reliable form.
Inquiries: How many times is your report checked, evaluated or seen. Having inquiry adds to the power of your score and is considered to be good.
Clear your report: The entire process of generation of the report to the travel to the credit bureau can be tedious. In such an instance, a proper self-check is a must. We cannot do everything on our self. Seek the help of a professional in such times. An expert can you provide you with tips and guidance to clear the errors from your report.
Like all areas of your life, building and making a score also holds a very crucial goal for your life. Take care of yourself by taking care of your credit. Generate your free credit report. Undergo a regular credit score check. Pay all your bills timely. A score is a binding force to take a loan or not. Follow the above steps and kick start your journey for taking a loan.
Also read : The revelation behind my CIBIL report