Credit scores are the key to credibility in loan approval. It determines your loan approval chances and paves the way for attractive offers and lesser EMI’s and interest. If you have a bad credit score that is less than 750, then there are few chances for loan approval. You can improve your credit scores in a span of 3 to 6 months by following the below tips. Here are tips how to improve cibil score .
Five Tips on How to Improve Your CIBIL Score
- Paying Your Dues in Time
Once you find out your credit scores are low, ensure that the bills are settled on time in the future. You can set an auto-debit transaction for your credit card bills and loans to avoid missing out on repayments.
- Check The Credit Utilization Ratio.
Credit cards are undoubtedly convenient to use when you don’t have cash available, but make sure your credit utilization ratio is less, thereby positively affecting spending habits.
- Increase Credit Limit
If you cross the monthly credit card limit, then contact your bank to increase your credit limit that way, it will indicate your spending habits are controlled.
- Talk To Your Lender
There could be any emergencies or loss of job due to which you could not repay the debt. Letting your lender know will help them analyze your situation and resolve not to affect your credit scores.
- Maintain Credit Lines
Your credit card or loan play a major role in your credit score. To increase your credit score, try to maintain your credit lines as long as possible.If you have any loan requirements, it is best to talk to know tour credit scores in advance and improve them. Taking these measures will enhance your credibility along with lucrative offers from lenders.
Additional Read: All You Need To Know About CIBIL Score For A Personal Loan
