A Credit Score is something that plays a vital role when it comes to sanctioning the loans. Better the score, more secure will be your financial life. With a new day, there is a unique chance. It does not matter what your past credit history is. With improved credit scores, you can also improve your current credit history. This can help you prepare you for the next financial period. Generally, a score can range from 700 to 900.
It is by only following a proper discipline that we can lead to improving our score. Having a good credit score is considered to be a stepping stone in your financial journey. Also, by reaching a good score, we can apply for any loan. Hence, it’s crucial to undertake a credit score check at regular intervals. In this article, you will read more about checking your credit score.
How to Check Your Credit Score?
Before granting you a loan, banks or other financial institutions check your CIBIL score. The CIBIL check generates a credit score that ranges between 300 and 900. A score below 300 is poor, while a score of 900 is the best. Every month, banks and NBFCs furnish their reports to check CIBIL scores for multiple individuals and businesses. This method helps them to choose the appropriate customers and monitor the repayment patterns of existing customers. Generally, a score of 700 and above is considered useful to get a loan without any hassle.
So, how to check your credit score online?
Apart from banks and NBFCs, multiple online aggregators enable you to check your credit score online and also provide free credit reports and scores based on your past credit history.
Follow the Below Steps to Check Your Score:
Step 1: Go to the CIBIL website
Step 2: Fill out the personal information such as name, contact number, email address and click continue
Step 3: Fill out the additional details, including your Pan number, and proceed to the next level.
Step 4: Answer the questions about your past loans and credit cards, which will help to calculate your CIBIL score and generate your credit report.
Step 5: You will get the offers of various paid subscriptions (if you need more than one report in a year). But if you don’t need more than one credit report in a year, you have the option to select No Thanks at the bottom of the page.
At this stage, your account is created, and a confirmed message is displayed on the following page.
Step 6: Login using your username and password that was created in Step 2.
To proceed further, you need to authenticate yourself using an email sent on your registered account. Enter the one-time password provided in the email.
You will be prompted to change your password and login again.
Step 7: Once you log in, all your details will be auto-populated by default. Check all the details. Then enter your contact number and click submit.
Step 8: Once you submit, you will get your CIBIL score.
However, it’s advisable to calculate your credit score every month to monitor the ups and downs in the report.
We have mentioned a few steps to maintain a good credit score:
Stay on top of payments: Stick to paying your credit monthly bills/installments on time and in full.
Check your credit report periodically: You should keep checking your credit report at regular intervals. This will help optimize your credit management capability and keep you aware of any fraudulent activity on your credit card or loan account.
Keep your balances low: It’s advisable to use a credit card only for emergency expenses and pay off the balance as soon as possible.
Avoid applying for new credit too often: Applying for a new loan or credit cards frequently can have a negative impact on your credit score.
Have a good credit mix: You must have the right combination of credit accounts. A personal loan, car loan, or any other such debt installment could work. If you have only one type of credit account, your score may decrease. Hence, the tips mentioned above will help you check your credit score quickly and if you have a low rating, you can improve it.