In this credit-driven economy, keeping your credit score high is always a challenge. One default, late payment of EMI, or multiple inquiries within a short period negatively impacts the credit score and affects your creditworthiness. However, despite all the efforts in keeping your credit score high, sometimes it takes a beating due to situations that you cannot control.
Therefore, in such a situation, by making informed decisions and tweaking your spending habits a bit, you can make a lot of difference and improve your credit score rapidly.
So, as enumerated above, if the steps mentioned are followed diligently, there is no reason as to why an individual can’t increase his CIBIL score from 500 to 750.
* Please note that this article is for your knowledge only. Loans are disbursed at the sole discretion of SMFG India Credit. Final approval, loan terms, disbursal process, foreclosure charges and foreclosure process will be subject to SMFG India Credit's policy at the time of loan application. If you wish to know more about our products and services, please contact us
Here are some ways to maintain a good CIBIL score:
You can increase your CIBIL score by:
A high credit score indicates responsible credit behaviour and a good payment history, increasing lenders’ confidence in your repayment ability. It can lead to faster approval times and lower interest rates if you fulfill all eligibility criteria. Generally, a credit score between 750 and 900 can get you favourable loan terms.
What accounts for a “good” credit score can vary from lender to lender as well as the scoring model used. Generally, a credit score of 700 to 749 is considered to be ‘good’, while a score between 750 and 900 is said to be ‘excellent’.
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