Your CIBIL score is a critical factor in determining your financial future. A good CIBIL score can open doors to opportunities, such as access to credit, loans, and credit cards at lower interest rates. A poor CIBIL score can lead to financial struggles, denied credit, and higher interest rates. The CIBIL score ranges from 300 to 900, and a score of 750 or above is considered good.
A good CIBIL score increases your chances of getting loans or credit card approval. Maintaining a good CIBIL score can help you achieve long-term financial goals, like purchasing a home or starting a business. A good CIBIL score is a key factor in your financial future, and it’s essential to understand how to check CIBIL score and how to maintain it.
What Is A Good CIBIL Score?
A CIBIL score is a numerical representation of an individual’s creditworthiness used by financial institutions to assess the risk of lending money. CIBIL is one of India’s premier credit bureaus that offers scores based on an individual’s credit history. A score ranging from 700-900 can be considered a good CIBIL score, as it indicates that the person has good financial habits and will repay loans on time. A higher CIBIL score offers numerous advantages, such as faster loan approvals, lower interest rates on credit facilities, larger loan amounts, longer repayment periods as well as faster loan approvals.
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Lenders are more likely to approve loan applications from individuals with good CIBIL scores, as they pose a lower risk of defaulting on their payments. Additionally, a good CIBIL score increases the chances of approval from multiple lenders, allowing borrowers to choose the lender from whom they want to borrow money. Maintaining a good CIBIL score is essential for individuals seeking credit facilities.
How To Check CIBIL Score
Listed below are the important steps to understand how to check CIBIL score online on Bajaj Finserv Credit Pass, one of the reliable and trustworthy online services to check CIBIL score.
- Visit the official Bajaj Finserv website bajajfinserv.in/credit-pass and search the ‘Credit Pass’ tab.
- Click the ‘Get It Now’ button to know how to check CIBIL score online.
- Enter your mobile number. You will receive an OTP on this mobile number.
- After successfully validating your mobile number, a new page will open.
- Fill in your details, like name, phone number, email address etc.
- Accept Terms & Conditions
- Pay a one-time subscription fee of Rs 99 to activate your Credit Pass.
- Once the payment is confirmed, you can access your Credit Health Report and check your CIBIL score online.
Listed Below Are The Reasons That Show A Good Cibil Score Is A Key Factor In Your Financial Future
- Low-interest Rates: A good CIBIL score can be highly advantageous as it allows individuals to obtain loans at lower interest rates, making repayments faster and less financially burdensome. Even small reductions in significant loans such as home mortgages or property loans can accumulate over time and lead to considerable savings. Therefore, it’s essential to strive for a good CIBIL score.
- Improved Chances of Loan and Credit Card Approval: Lenders typically conduct a hard inquiry to assess your CIBIL score and report when applying for a loan or credit card. This inquiry can affect your score, and if you’re declined, it may even harm it. A good CIBIL score enhances the likelihood of approval since lenders have no legitimate reason to refuse your application.
- Higher Credit Limits: Your CIBIL score and income determine your eligibility for loans or credit cards and the amount or limit offered. Lenders evaluate your creditworthiness and responsibility as a borrower based on these factors. However, if your score falls below 500, even if you’re eligible for a loan or card, you may face higher interest rates and smaller limits.
Conclusion
Having a good CIBIL score is critical for ensuring a stable financial future. Maintaining a good CIBIL score requires responsible credit behaviour, such as timely payments, keeping credit utilization low, and avoiding multiple loan applications in a short period. A good CIBIL score indicates that the borrower is a responsible and low-risk borrower, which can lead to a higher credit limit, better credit offers, and overall financial stability.