How to Improve CIBIL Score 2024: Hello friends, are you also taking loan from bank or finance for your business or personal work. So you must understand that they give loans based on your CIBIL score. Many people do not get credit due to poor CIBIL scores. So today we have given complete information about how to improve CIBIL score in today’s article.
We know that if CIBIL score or credit score is bad, any financial institution does not approve us for loan. But the solution to this problem of yours today in this article we will know how to increase low CIBIL score.
What is CIBIL Score? (How to Improve CIBIL Score 2024)
Before how to improve CIBIL score it is important to know what CIBIL score is. CIBIL score and credit score is a three digit number, which ranges between 300 to 900. This score indicates the loan worthiness of any individual. Generally it is said that if the CIBIL score is more than 750 then it is considered very good and any bank or institution can get loan quickly.
For which you should always pay the bank installment or credit card bill on time so that your CIBIL score does not deteriorate and you do not face any problem for any loan or credit card in future. If your CIBIL score is bad then we have mentioned below how you can improve it.
How to Improve CIBIL Score?
If friends you also have bad or low CIBIL score then we will tell you some ways by following which you can improve your CIBIL score, what is this how to improve CIBIL score 2024 tips let’s know,
1. Paying the loan on time
If you also want to improve or increase your CIBIL score, then you need to repay your loan on time. If you don’t repay your loan on time, it directly affects your CIBIL score. Paying bank EMIs on time keeps your CIBIL score good. If you delay in paying your EMIs, you incur a penalty and it also affects your CIBIL score.
2. Maintain a good credit balance
If you have taken both secured and unsecured loans, you should pay off the unsecured loan first. Because the lending financial institutions or the bank trust more on the secured loan borrower. So a balance should always be maintained between secured and unsecured loans so that your CIBIL score and credit score is good How to Improve CIBIL Score 2024
3. Monitor administration activity
Even if you have paid off your loan in full and closed the loan on your own, administration activities still have to be taken care of. In many cases it also shows that the loan is active even if you have repaid the loan, which continuously lowers your CIBIL score and credit score. So after paying the loan check whether the loan is active or closed, How to Improve CIBIL Score 2024
4. Don’t take a joint account
You should never open a joint account and be a guarantor of any loan. Because if you become a guarantor of someone’s loan, if that person is unable to repay the loan, it also affects your CIBIL score.
5. Don’t keep credit bills in arrears
You should never leave your credit card bills in arrears, as this also affects your CIBIL score. The sooner the credit card bill is paid, the more likely it is to improve the credit score. You should pay your credit card bill amount on time, How to Improve CIBIL Score 2024
6. Take one loan at a time
Insist on taking only one loan at a time to keep your CIBIL score and credit score good. If you take many loans at once, you may find it difficult to repay. Which affects your CIBIL score and credit score, How to Improve CIBIL Score 2024
7. Don’t overuse credit cards
One of the most important ways you can improve your CIBIL score and credit score is to monitor your credit card limit. You should never spend more than 30% of your credit card limit. As it indicates that you have incurred unnecessary expenses, which affects your CIBIL score and credit score, How to Improve CIBIL Score 2024
8. Choose a longer loan repayment period
If you take a longer period to repay your loan, your EMIs come down. Which you can easily pay on time. Which helps to increase your CIBIL score and credit score, How to Improve CIBIL Score 2024
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