TransUnion Credit Information Bureau India Limited or CIBIL provides borrowers with credit scores which symbolise their credit behaviour. It is a 3-digit number ranging between 300 to 900, which is used by lenders to profile borrowers’ based on their creditworthiness. Having a good CIBIL score of at least 750 or above can help debtors secure higher loan amounts and negotiate for lower interest rates. Read on to know how to check CIBIL score online.
As stated above, it is evident that a CIBIL score suggests financial stability. As a result, lenders are more likely to approve loan requests. Thanks to digitisation, one can easily and quickly generate his/her Credit Information Report (CIR) online and monitor it for discrepancies requiring immediate attention.
How to check your CIBIL score online?
Here is a step-by-step guide to check CIBIL scores online
Step 1: To check the CIBIL score online, visit the official TransUnion CIBIL website.
Step 2: Subsequently, click on the “Credit Report Products” option in the menu bar.
Step 3: From the drop-down menu, one can find 2 options. First, subscription-based CIR, and second free CIBIL score. A subscription-based CIBIL report will automatically generate monthly CIRs with a one-time payment. On the other hand, a free CIBIL score will only fetch the score and not the report as a whole.
To obtain a report from CIBIL for a home loan or any other type of loan, select the subscription option. On the other hand, for monitoring purposes, consider using the “free CIBIL score” option.
Step 4: Thereafter, new applicants have to register on the CIBIL website by entering their name, email ID, date of birth, PIN code, government ID card number and phone number. One also has to specify a username and password to sign in. The applicant will then have to enter an OTP, which they will receive on their registered mobile number.
Step 3: After completion of the above step, the user can log in to his/her profile by entering the specified username and password.
Step 4: For existing members, they will have to verify their identity after logging in. This includes entering the loan account number, loan amount, etc. Once the date is submitted, the individual will be verified by CIBIL.
Step 5: Thereafter, the individual will be able to check his/her credit report in the dashboard and take a printout of the same. However, people who will be applying for subscriptions to generate CIR will be redirected to the payment page.
Step 6: Once redirected to the payment age, they will have to select their subscription plan starting from Rs.550 for a month to Rs.1200 for a year. One can use a credit card, debit card or Internet banking services to process the payment.
Step 5: After paying the fee, the applicant will be able to access their full credit report containing their credit history, repayment tenure, loan amount, name of lenders, etc.
Step 6: After receiving the CIR, thoroughly check the report and ensure no errors. In case of any discrepancy, one can also contact CIBIL for a revision.
Apart from CIBIL, there are 3 more credit bureaus in India that can provide borrowers with Credit Information Reports containing their credit scores. However, CIBIL is the oldest and the most popular credit information bureau. So, when applying for a home loan, an applicant can just check his/her CIBIL score.
How to improve CIBIL score?
Apart from allowing individuals to avail higher debt at a lower interest rate, it is also being accepted nationwide to access employees’ management skills and defaults. In other words, an employee with a good CIBIL score is more likely to land a job, especially in the finance industry and vice versa.
Some pointers to increase CIBIL score are as follows:
- Paying bills on time
The first and foremost criterion to increase credit score is to maintain regular and timely EMIs or bill payments. It is advisable to not default on repayment dues as it might negatively affect the CIBIL score.
- Avoiding multiple loans at a time
Individuals applying for multiple loans at a time may overshoot their debt-to-income ratio. As a result, it will add to their liability, making them less creditworthy and risky prospects for lenders. Therefore, it is advisable to have only one outstanding loan at a time and never exceed the debt amount from what one can pay.
- Maintaining a good credit mix
Having a good mix of credit, such as credit cards, loans, and a mortgage, can show lenders that one is capable of handling different types of credit. A good credit mix improves one’s CIBIL score.
- Avoiding credit card overuse
Credit cards can be tempting to overuse, as they allow users to avail funds without having to pay them immediately. However, accumulated credit card balance may make borrowers loon credit hungry, eventually lowering CIBIL score.
- Checking credit reports regularly
Although this may not directly add to one’s score, checking CIBIL scores every once in a while can help borrowers detect any discrepancies or errors at the earliest. Then, they can file a dispute with CIBIL to get the necessary corrections.
The above sections cover a detailed guide on how to check CIBIL scores online. Staying up to date on CIR can help individuals stay on top of their finances. Furthermore, having a good credit score of 750 or above can help borrowers negotiate better loan terms and showcase financial management skills to potential employers.
Lastly, it is better to avoid taking too many loans at a time, as lenders pull out the credit reports of borrowers, which is considered a hard inquiry. Subsequently, too many hard inquiries may lower your CIBIL score. However, soft inquiries or generating credit reports for self-assessments are harmless.
