Credit demands in India are growing rapidly and credit score plays a vital role in getting credit to a person. So, we are on a mission to make India credit worthy by spreading awareness on good financial habits.
Balanced utilization of your credit card limits help a lot to improve you credit score with time. If your credit utilization exceeds 30% of your total credit limit this may negatively impact your credit score. Thus to maintain a healthy credit score cap your total credit utilization to 30% of total credit limit of all the cards. To learn more about correct utilization of your credit limit click on the learn more button below. There we will tell you how to utilize total credit limit so that it does not impact your credit score negatively and also other methods to utilize credit limit more that 30% in a way that it does not impact your credit score negatively.
If you are in a urgent need of credits do not apply to multiple banks or sites for the credit at the same time or within a short span of time this will negatively impact your credit score and will show your credit hunger to the bank or NBFC to whom you will apply for loan in future thus lowering the chances of credit approvals. Always apply for loan to RBI registered Creditors or Banks doing so will prevent you from any kind of financial frauds as financial frauds related to loans are done by many sacmmers non-payment of that loan will impact your credit score negatively.
Never miss and EMI or credit card bill due date. missing a credit card payment or EMI may negatively impact your credit score and a remark will be added by credit bureau in your credit history in the month of missing EMI or payment. This is the most important factor to maintain a good credit score. Maintaining a good credit history boost your credit score significantly helping you to get faster approvals of any loans or credits in future.
The CIBIL score is a numeric rating between range 300-900 of your credit history.It is linked to individual's Pan Card and other basic details. The score is derived from the credit history found in the Credit report (also known as CIR i.e. Credit Information Report). CIR is an individual's payment history by loan type given by various banks and financial institutions over a certain period of time. Whenever you take a loan or use your credit card the creditor share your credit information to credit bureau and your credit score gets updated based on your credit usage.
Whenever an individual applies for a loan or credit card to financial institution fetch the credit score of the individual from credit bureau and analyze his credit history.
Creditors always analyze credit report of an individual before lending any amount.Individuals can themselve analyze their credit report time to time and look for any wrong updates in credit report that may impact their credit score
If an individual finds any wrong credit history in their credit report, he can file a dispute to the credit bureau for the correction.
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Yes, It may cause a little negative impact on your credit score .
Every credit bureau has their own criteria to provide ratings majorly on the basis of credit age,credit history,on-time repayments, credit mix and past credit applications. It does not gives any negative impression on your credit report and it is totally based on each bureau's rating criteria.
If you have missed you EMI by mistake then you can request your Bank or NBFC to take payment after the EMI date and prevent your EMI from being in overdue status. In order to improve your credit score again timely pay the upcoming EMI's in future, your score will improve with time.
You can file a dispute to the credit bureau of which their is an error in the report by visiting the bureau's website and registering yourself with your PAN card and other basic details and search for the option 'raise a dispute' fill the details asked in the form and submit, bureau will look into the dispute and will take necessary actions required.