What is CIBIL Score
Friends whenever from anywhere want to take any kind of loan, want to make a credit card. Then the lender means Banks Or, Financial Institute, First of all, check your Cibil score, and if your cibil score is lower, do not approve your loan or credit card.
Why does this happen what is the Cibil score?
How is the Cibil score calculated,
How can you check your cibil score for free and the most important thing if you have a low score, how can you improve it?
- CIBIL is India’s largest and credible credit bureau which is almost all the Banks and Financial Institutes Provide Credit Score.
- That’s why we Called credited as Cibill score. What does this Cibil score mean?
- Friends All Banks and Financial Institutes, All information related to your personal and credit Sends to the Credit Bureau,
- And in this way, Credit Bureaus has all the information related to your loan and credit card.
- So with credit bureaus such as Cibil Analyse, all your data or information creates a credit reporting according to that credit report.
What is Credit Score
You get a ranking that is from 300 to 900 This ranking is called the Cibillion score.
The closer the score is to 900, then your performance is considered as good.
So before giving a loan or before a credit card Approve.
See the same credit score because in this credit score you asked the bank to take a loan from it or you have any relation with the bankroll things are created by looking at how we will talk about whether.
The bank or the credit bureaus looking at which factor, these credit scores are prepared to let me tell you.
Why is Important
That here mainly four-factor is the hotter who is responsible for it.
This credit report is created by looking at the four factors who are 4 Factors?
And which of the factors are given the weightage Friends.
1. Past Performance
The first factor is that your past performance nearly 30% weightage is given when calculating credit score what is the loan you got in past performance?
And you have paid or did not pay the loan on Repay time if you have not made payment at the time, it is a wrong impression on your credit score, if you pay only on payment time, then your credit score will have a positive impact.
If you guys have a credit card, you have been paying her bill at a time or are not Paying time on it. It also has a great impact on calculating your credit score.
2. Secured loan or Unsecured loan
Second Factor’s Friends Credit Type and Duration Credit Type Means
You have a secured loan or have an unsecured loan And how much time is for the period While calculating, this double credit score 25% weightage is given To say a credit type means, that you have taken a secured loan or Unsecured loan, from Bank.
If you do not know much about
A Secured Loan
So May tells you that a secured loan which is to take the loan. Do you have a property or a Valuable thing have to keep with the bank and it is a condition that if you do not return the loan amount to the bank at the time decided,
The bank has the right to on that proprietary or will he seize that Valuable things such a loan is called a secured loan, if you take a gold loan or take a property loan, then all these loans come in the Secured Loan.
B Unsecured Loan
If you talk about Unsecured Loan, you do not have to keep anything with the bank by looking at your abilities, the bank gives you a loan,
If you talk about education loans, you do not have to keep anything in the education loan. Bank takes some certificates from you and gives loans In the same way,
If you talk about a personal loan, the same happens in the personal loan. So these whole lanes come in unsecured loans.
But friends, let me tell you that Secured loans from them are much higher than the interest rate of Unsecured.
So if you have already picked up an unsecured loan from the bank in advance the banker, thinks that you have too much interest in the past because that he does not want to give you a loan and your credit score goes down.
The same loan you pay that if you are paying timely, can be has a positive impact on your credit score.
3. Credit Utilization
Credit utility means to say friends if you have any Credit card and its credit limit is 1 lakh what do you do if you use the full limit of that credit card has a very bad impact on your credit score because
Credit Utilization is also given a 25% weightage for calculating a credit score. Friend if you have a credit card otherwise banks offer you credit card you should only use up to 3% credit limit on that you use a limit of 30-35% Then your credit score is correct. But if you do that to the total credit limit then it has a wrong effect on your credit score.
So let’s remember you today if you have a credit card you use only its 30-35% Credit limitless the rest stay the same and you pay the bill on time,
4. Loan Application
The fourth factor is other many small factors come, unlike some facts, I tell you, Friends, whenever you have to take a loan, what do you do The number of bank accounts you have you apply for a loan in all the banks.
All banks send this loan information to the Credit Bureau. The credit bureaus feel that you are very hungry for the loan because of which your credit score goes down and friends are given 20% weightage to another factor which can greatly lower your credit score.
You need a loan of 1 Lakh But if you apply it to 5 banks. The credit bureau gets 5 lakh information from banks in this way credit bureaus think that you are very hungry for the loan, you applied to 5 places.
So friends have a very wrong impression of your credit score whenever you want to take a loan,
You apply only to a bank. Then your credit score will also be maintained and you will get a loan easily but if you apply on 5 Places, your credit score goes down and you do not have a loan approved this is the four-factor that your credit score is calculated.
How to Check Cibil Score
We know how we will check our credit score there are lots of ways to check Cibil score.
You can check through
Cibil.com official website
How to Check On Cibil.Com
- Credit bureau from where you can know your credit score for free for you, in your computer or smartphone to any web browser, and search it cibil.com /free cibil score,
- When you search this then a webpage will open up One button will appear to get YOURS NOW.
- You have to click on that as soon as you click on that then some personal information columns will be opened in it you will also have to give a document you fill up all the information.
- You will be told your credit score you can know your credit score.
How to Check On Paytm
- So you have to open your Paytm application and comes on the Home screen.
- Three lines in the left side of the Home screen should be visible in the upper corner,
- You have to click on that as soon as you click on that some options will open up has to slide.
- You down a new option will appear on my credit score you have to click on my credit score as soon as you click on my credit score,
- Then he will be given options to fill in some personal details again.
Date of Birth,
- This will fill in the whole information and then the processed credit score will be shown to you,
- But the data that they would be friends will not be of CIBIL Score, The way CIBIL is a Credit bureau the same way,
Experience is also a credit bureau, you can see the data of
You see the data of the Experian credit bureau not see data from the cibil score credit bureau friends are convinced that CIBIL’s credit score (Cibil Score) that is accurate and uses the same credit score.
Approx all bankers and financial institutes you should check with the same,
Then he will tell you what loan you have taken, for which credit card you have taken which loan you have already taken before payment completed,
you have not completed the payment, then which loan is currently active this whole information will also show on.
So by looking at the data of someone else, you can see what are those loans have taken credit cards?
How to Improve Your Cibil Score
So friends now that if your credit score is very low, So how can you improve it. Improving I have just told four factors taken care of that four-factor,
Your cibil score will be automatically Improved. But this may be a lot of time to get improved in this way,
If you want to improve very soon you can do it for that you go to your bank and that you FD some money means Make Some Money Fixed Deposit.
When You Get Fixed Deposite, So almost all the banks have such facilities.
You can get a credit card of 80% of your fixed deposit amount so you get a credit card of 80%of your fixed deposit amount from him.
And use the credit card on 30-35% limited pay his bill on time if you do this for 6-7 months automatically your credit score will be impressed.
You know now what the Cibil score is how to calculate, how can you check your cibil score free and how can I improve friends if you still have a question-related Cibil Score, You can comment in our comment box.