Check Your Credit Score free

Step 1

Credit score calculator:

All of us would be desirous of availing either a home loan or a personal loan or a car loan or credit card in our lifetime, for which we would require to know our credit score. These credit scores reflect on our capability to avail a loan and our credit worthiness, which go a long way in getting a loan.

Access your credit score for free!

The above score is an indicative range of your credit scores. Your CIBIL score will be within the ranges mentioned above, and its 95% accurate, which has been tested and proved.

Tips for a healthy Credit Score :

  • Keep a track of all your repayments – month on month – Never miss an EMI. Even if the EMI is missed for any reason, see to it, the amount is paid to the bank within a week’s time.
  • Have a good mix of both secured and unsecured loans – Too much of unsecured loans may downgrade your score.
  • Don’t take too frequent loans or cards. Let there be a gap of minimum 6 months in between each loan/card
  • Keep a tab on the duration of the loan to be serviced. Choose your loan tenure keeping in mind your repayment capacity.
  • Never guarantee too many loans for friends or relatives, unless its really necessary, as being a guarantor would also affect your credit scores.
  • Don’t utilize your credit limits beyond 85% at any point in time in both loans and cards
  • Be careful while closing your credit card. Ensure that not only the balance on the card is NIL, but also the card is closed and settled with the credit card company.
  • Always request for a No Due Certificate on closure of your Loan or Card.

 

 

What is CIBIL?

CIBIL stands for Credit Information Bureau (India) Limited, is an ISO 27001:2005 company. A first of its kind, it is India’s premier Credit Information Company (CIC). Founded in the year 2000, CIBIL has pioneered its way to change the outlook of the Indian Financial system . The company records credit related information of individuals as submitted by registered member institutions. CIBIL has technical partnerships with TransUnion International Inc. and Dun and Bradstreet.

 

Trans Union International Inc. is CIBIL’s major shareholder with a 60% stake in the company followed by ICICI Bank with 6%. Bank of India, Indian Overseas Bank, Union Bank of India and Bank of Baroda each hold 5%.

 

CIBIL has two major segments viz. the Consumer Bureau and the Commercial Bureau. The Consumer Bureau maintains credit records of individuals while the Commercial Bureau maintains credit records of institutions/companies.

What is a CIBIL Score?

An individual’s or company’s credit history is evaluated to generate a Credit Information Report (CIR) from which is derived a credit score known as the CIBIL TransUnion Score. This report and score form an integral part of a credit approval process. Credit scores range between 300 and 900. The higher the score, the more creditworthy the borrower is, which in turn facilitates into quick approvals and better interest rates.

 

CIBIL provides credit reports and scores to those who inquire for them. This includes individuals, institutions and lenders. When an application for a loan or credit card is submitted, lenders check the applicant’s credit scores to ascertain whether it satisfies eligibility criteria. In general, a score of 750 or higher is considered good.

Is there only one credit bureau in the country?

There are other bureaus in India which assesses and provide a credit scores like, Experian credit information of India Pvt. Ltd., Equifax Credit Information Services Pvt. Ltd and CRIF High Mark Credit Information Services Pvt. Ltd. The assessment pattern of these bureaus vary from one another, and hence your scores may vary. However, they are more or less equal.

Will checking my credit score have a negative impact on my score?

Generally, an enquiry by one’s own self is considered as a "Soft Enquiry", and will not result in any adverse effect on the scores. However, an enquiry by a bank from whom a card or a loan is requested is known as "hard enquiries" which have an impact on the scores.

What are the types of CIBIL scores?

There are two types of CIBIL Scores – Company CIBIL score and Individual CIBIL Score.

 

 

Company CIBIL :

 

Any Company which wishes to raise a loan from a bank, will require its own credit history to be analysed.

 

A Company Credit Report (CCR) is a record of your company's credit history. This is created from data submitted to CIBIL/credit bureaus by lending institutions across India.

 

It is important to understand that while the CCR is not a credit rating it is heavily relied on by loan providers to evaluate & approve loan applications. The past payment behaviour of a company is a strong indication of its future behaviour.

 

CCR plays a critical role in the loan approval process. This report is used by the lender to make informed lending decisions - quickly and objectively. You can also use the CCR to negotiate better credit terms while doing business by providing this report to potential business partners as confirmation of your company's financial strength

 

Individual CIBIL :

 

An individual’s or company’s credit history is evaluated to generate a Credit Information Report (CIR) from which is derived a credit score known as the CIBIL TransUnion Score. This report and score form an integral part of a credit approval process. Credit scores range between 300 and 900. The higher the score, the more creditworthy the borrower is, which in turn facilitates into quick approvals and better interest rates.

 

CIBIL provides credit reports and scores to those who inquire for them. This includes individuals, institutions and lenders. When an application for a loan or credit card is submitted, lenders check the applicant’s credit scores to ascertain whether it satisfies eligibility criteria. In general, a score of 750 or higher is considered good.

How to get CIBIL Score?

You can get your CIBIL scores and CIR online through the official CIBIL website https://www.cibil.com. Here are the steps to follow,

 

  • Visit the site
  • You will need to fill your personal details like Name, Phone no, Identity proof etc
  • This will lead you to a payments page where you need to pay Rs 500 through credit/debit card, net banking etc for an individual CIBILscore, and Rs.3000/- for a company CIBIL credit report
  • Post payment, you will need to go through online authentication to confirm your identity by answering a few questions regarding your credit history.
  • If you pass authentication through document upload, you will be able to download the report instantly and the report will also be emailed to you
  • If you do not pass the authentication, you will have to upload your KYC compliant documents along with the online payment confirmation form. After verifying the documents, your report will be mailed to you in 7 business days

You can also follow the manual approach to buy your credit score by downloading and mailing a request form to CIBIL.

 

Fill all the required details and mail the form with self-attested KYC documents, a Demand

 

Draft(DD) of 500/- to the address mentioned in the request form.

 

Your credit score will be mailed to you within 7 business days post verification.

How can you improve your CIBIL score?

  • Always pay your dues on time - Late payments are viewed negatively by lenders
  • Keep your balances low - Always prudent to not use too much credit, control your utilization
  • Maintain a healthy mix of credit - It is better to have a healthy mix of secured (such as home loan, auto loan) and unsecured loans (such as personal loan, credit cards). Too many unsecured loans may be viewed negatively.
  • Apply for new credit in moderation -You don't want to seem Credit Hungry; apply for new credit cautiously
  • Monitor your co-signed, guaranteed and joint accounts monthly - In co-signed, guaranteed or jointly held accounts, you are held equally liable for missed payments. Your joint holder’s (or the guaranteed individual) negligence could affect your ability to access credit when you need it
  • Review you credit history
  • frequently throughout the year - Purchase your CIR from time to time to avoid unpleasant surprises in the form of a rejected loan application

What are the factors affecting CIBIL score?

There are 4 major factors that affect your score

 

  • Payment history
    • Making late payments or defaulting your EMIs or dues (recently or consistently) shows you are having trouble to pay your existing credit obligations and will negatively affect your score.
  • High utilization of Credit Limit
    • While increased spending on your credit card will not necessarily affect your score in a negative manner, an increase in the current balance of your credit card indicates an increased repayment burden and may negatively affect your score.
  • Higher percentage of credit cards or personal loans (also known as unsecured loan)
    • Having a balanced mix between the secured loans (such as Auto, Home loan) and unsecured loan (such as Personal loan, Credit Card) is likely to have a more positive affect on your score.
  • Many new accounts opened recently
    • If you have recently been sanctioned multiple loans and credit cards, then lenders will view your application with caution because this behavior indicates your debt burden has increased increase, which will negatively impact your score.

 

 

 

cibil-score

 

Credit Score

 

Figures indicate % of all new loans sanctioned during last 1 year falling in that score band

 

 

Score
Analysis
CIBIL -1 This indicates that the borrower has no credit history; he has never borrowed nor owns a credit card from any financial institution.
CIBIL 300 - 600 This indicates multiple defaults, overdue payments and write-offs on previous loans and credit card payments. It is very hard to obtain a loan for someone in this bracket from banks and financial institutions. The loan applications will be rejected in most cases as this score is considered to be a credit risk with higher chances of default.
CIBIL 600 - 750 This indicates there are instances of late payments and irregularity of payments against loans and credit cards in the past. It is neither a bad score nor a good one. Banks and financial institutions will be cautious and might perform additional credit check to gauge the credit-worthiness of the individual. They might demand guarantors, security or collateral if necessary before sanctioning the loan. Banks and financial institutions might charge a higher rate of interest in such cases.
CIBIL 750 – 900 This is a positive indicator for the banks and financial institutions to approve loans, both secured and unsecured. This signifies that you have never defaulted and have been consistent in repaying your previous loans or credit card bills. Banks will be more than happy to advance you a loan which will help you negotiate for lower interest rates, processing fees and pre-closure charges.
CIBIL NA or NH This indicates that you do not have a credit history, credit records are available for less than 6 months or you do not have a credit card. This score isn’t necessarily bad, but few banks or financial institutions will not lend loans to a first time borrower or an applicant with no credit history because they cannot gauge the risk, especially when the loan is unsecured.

Documents