All About CIBIL Score
The 2016-17 fiscal year has started with a lot of new buzz in Indian economy. Indian economy is growing at a rate of 7.5 per cent. Banks are cutting rates and loans are getting cheaper. You might also be planning for taking a loan for any financial requirement. But, did you check your CIBIL score? CIBIL means Credit Information Bureau India Limited. CIBIL score is a three digit numeric value ranges from 300 to 900 issued by CIBIL. It is based upon your past credit history with the banks like loans and credit cards. If you have maintained a good credit track, repaid timely then you can score high in your CIBIL report. Your CIBIL score must be greater than 750 to get any credit from the banks. Here are three most important things that you should do to build a high CIBIL score in 2016:
- Repay your loans timely: If you have taken a loan then repay your all EMIs timely. If there is any loan outstanding clear it. Maintain a neat and clean loan track with the banks. It will give you plus points. Mostly, people get trapped into debts because of not repaying education loans on time. If you have taken an education loan for your studies, start repaying for it when you will get a job. Don’t postpone the EMIs. A good credit score will help you to get a loan again very easily.
- Credit cards: Build a good credit history by using a credit card wisely. A Credit card helps in building a credit history. But if you don’t use it in a proper way, it can create problems for you. There is a wide variety of credit cards offered in the market. You should compare the features and reward points and choose the one as per your requirement. You should always make the payments on time in the billing cycle. Don’t do settlement of a credit card ever in your life. Try to clear outstanding amount and pay on time. Use a credit card for spending small amounts if required. Don’t buy anything that is beyond your repaying limit.
- Keep checking your CIBIL Report: Most of the times, people build a good credit history, maintains a healthy track but do not check their CIBIL report. You may also fall in the same category. You must check your credit report once or twice a year. There can be a discrepancy in your track, a wrong name sometimes or a wrong address. So keep checking your credit report.
These are the three points which will help you to build a high CIBIL score in 2016. Your PAN card number helps banks to know about your credit history. Follow these points and keep a financially healthy track. Maintain a good relationship with the banks and get maximum benefits.