We live in a generation where our financial needs keep on rising. It’s hard to meet all our needs as we have several other bills to pay. By paying all our bills we usually exhaust all our money. The need for money can arise at any time for any reason whether it is a medical bill payment or buying a new house or a car etc. No more waiting, as you can grab the opportunity to meet your financial needs as soon as possible with your CIBIL score. Your CIBIL score can help you to avail yourself of the loans from the banks and the financial institutions. Not everyone is filthy rich and can afford their financial needs in a single go. Therefore the CIBIL score is meant to help you to fulfill all your financial needs. The CIBIL score is a three-digit number which falls between 300 to 900. It is the numeric description of your creditworthiness.
The financial institutions and the banks usually go through your CIBIL score before approval for loans. You can open the door to huge benefits if you have a good CIBIL score. A score closer to 900 is considered a good CIBIL score. Therefore you need to push your score above 600 and try to lift it to 900. The CIBIL score can play the role of a power card in your financial life.
Benefits of having a good CIBIL score
With a good CIBIL score it comes to the massive opportunities to fulfil all your financial needs. whether you want to buy a new car, a new home or Medical bills you need to pay. The financial institutions and banks love to cater for the individuals with the Good CIBIL score and therefore easily approve the number of loans they want. Some of the benefits of having a good CIBIL score are as follows:-
- Eligibility for loans increases as the financial institution and banks prefer individuals with a high CIBIL score.
- It opens the door to a room full of credit cards. Many credit card companies prefer to avail the credit card to the individuals having a score closer to 900.
- The financial institutions and banks avail you of the benefit of paying less interest if you have a good score.
- A good history of credit is defined by a good credit score. A good image has been created in front of the banks and financial institutions.
Tips to increase the CIBIL score
A good score indeed provides a large number of benefits. Therefore you need to have a good score to avail the benefit it provides. Moreover Increasing your score is not that tough task. All you need to do is to follow the tips below:-
Repay the debts on time
One of the silliest mistakes that individuals make is that they do not pay their bills and EMIs on time. Paying the bills and EMIs can leave a massive impact on your CIBIL score. Your score will increase if you remember to pay your bills on time. The banks and financial institutions prefer individuals who are sincere about the bills.
Multiple credit cards at once
Having a new credit card with a higher credit limit is everyone’s need. Therefore individuals usually make the mistake of applying for multiple credit cards at once. This action leads to the deduction of the score, as this creates an image of credit hungry. The banks and the financial institutions do not prefer individuals with an image of being credit hungry.
Utilization of Credit limit
To increase the CIBIL score, It is suggested to use 30% of the credit limit. The more you utilize the credit limit the more chances arise to fall in CIBIL score. Therefore use the credit limit wisely.
Keep the track of CIBIL score
To maintain your CIBIL score high, you need to do a CIBIL score login once. If there are any discrepancies then you can easily rectify them. This process can help you push up your score and meet your financial goals effectively and efficiently.
