What is CIBIL score?

A credit score is a numerical number generated on a level of investigation of a person’s credit files. CIBIL score is based on credit behavior, as reflected in the ‘Accounts’ and ‘Inquiries’ section of CIR and Range from 300 to 900. A score above 700 is generally considered good and financial institutions / Banks use credit scores to determine which customers are valuable to generate the revenue.

Why use is CIBIL score?

Financial institutions / Banks use credit scores to evaluate the possible risk posed by giving money to customers and to mitigate losses due to bad debt. Financial institutions / Banks use credit scores to determine who qualifies for a loan /credit card and what credit limits and interest rate should be considered.

Can CIBIL defaulter get home loan / credit card?

It’s depending on investigation and situation but it is not easy for CIBIL defaulters to get loans / credit cards from banks and financial institutions. If you are a consistent defaulter, you are fewer chances to get loan approval. However, persons can get a personal loan even though the CIBIL score is low. Example: gold againt loan

Does checking CIBIL score reduce it?

Inquiries about CIBIL scores do not affect score whereas inquiries about credit (loans / credit cards) of many banks / financial institutions may affect CIBIL score. A very high credit utilization ratio is considered risky and has a negative impact on credit score. Therefore, always try to decrease some liabilities.

How to Get CIBIL Score Free?

  • Visit CIBIL’s official website and click on the link for free credit report.
  • Create your CIBIL account.
  • Fill the prescribed form with details for identity verification with CIBIL and get score.

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