A Credit score is a number that helps the lender to analyze the risk of giving a loan to a borrower. This score shows your credit history by the way of a three-digit number which ranges from 300 to 900. It is a general assumption that a credit score of 750 and above make a person sufficiently eligible to apply for a loan. Higher the credit score more will be the chances of the loan approval.

Many credit information agencies are providing a free credit score or a credit report to the applicant every month. Apart from that, Reserve Bank of India also giving a free credit report once in a year. You can log in to the website to get a free score by clicking on this link:

•    Create an account: Create your username and password. Enter your Email Id, name and mobile number.
•    Enter Personal Details: It includes the date of birth, address, identity proof, PAN card, and Aadhar number.
•    Verify your identity: Send an OTP to verify your details
•    Get a free credit report or a CIBIL score

Every time you apply for a personal loan or a credit card, the lender has the responsibility to inform the same. The banks take note of whether you repay a debt on time. In case you are repaying in advance, then it is seen as a positive sign. Apart from that borrower also gain the trust of the lender in the context of loan repayment.

2.    Drastic increase in the credit
Every earning individual has a credit limit, in case you are going beyond the credit limit, it shows your credit hungry behavior. Bank considers it as a red flag and hesitates to give you a loan which results in a reduced score.

3.    Debt to income ratio
Lenders never encourage people to take more debts, say around 40% of their income. So, DTI is used to gauge a loan applicant’s ability to repay based on his/her income. It is an excellent metric is the best way to inculcate financial discipline as well as to ensure that you can repay your future EMIs without feeling burdened.

•    It is a must to have a proper understanding of the scoring pattern.
•    You should always make sure to maintain a low credit balance.
•    Pay all the credit card dues on time and must have a clean credit card to secure a personal loan or open a new credit only when there is an urgent need.
•    Monthly installment payments should always be equated. The credit limits of your credit card being enhanced.

By keeping in mind all the above factors, you can have a credit score that will make your every dream possible for you.