Credit score cibil range is a very important data that is looked by each and every bank before finalizing any loan amount for any applicant. Cibil score range is prepared by CIBIL (Credit information bureau of India limited) by analyzing your past credit information collected from various banks and financial institutions. Let us look at various factors that affects your cibil score in positive and negative ways –
Things that positively affect your credit score cibil range –
- No delay in EMI payments.
- On time payment of credit cards.
- Not too much over dependency on debts.
- Paying credit cards due in full rather than paying minimum amount overdue.
- Maintaining above average financial performance continuously over a period of time.
- Maintaining optimal credit card utilization limit over a period of time.
- Regularly updating yourself with your cibil score twice a year and rectifying any mistakes or wrong data mentioned in your credit information report.
- Regularly keep in touch with banks and financial institutions regarding your emi payments so that all of the information is reflected in your cibil score report.
Things that negatively affect your credit score cibil range –
1. Large number of enquiries by banks and financial institutions in your credit report.
2. Track record of cheque bounces and cheque dishonours in past.
3. Irregular loan repayments in the past
4. Defaulting on credit card bills in the past.
5. Relying too heavily on unsecured loans like personal loans.
6. Applications rejected for unsecured loans in the past.
7. Defaulting when you were guarantor for a loan in the past.
8. High utilization of credit limit approved by a credit card authority or overshooting your credit card limit.
9. Mistakes in information submitted by banks to CIBIL. This can result in any other individual’s loan being credited on your name.