What is a CIBIL Score? How to Check it

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There might be several times in your life when you require some amount of money to fulfill your short-term or long-term goals. Whether you’re planning to buy a house or need money to purchase something, a loan can help you meet all your goals. Several financial institutions across the country offer various financial products, like loans to customers, to fulfill their short-term or long-term requirements. Different financial institutions provide loans for different interest rates and tenure. You can check on the Internet to get the best loan for yourself for your required time.

Despite the type of loan you have applied for, the lender will go through your CIBIL score to approve your loan. The CIBIL score stands for Credit Information Bureau of India, which serves as a report card of a person’s financial history and stability. The Credit Information of India maintains the CIBIL score of a person by analyzing their credit card spending, loans, and other borrowings. Besides CIBIL, other credit scores like CRIF Highmark are present in India. These credit scores are accurate too. However, the CIBIL credit score is widely known and used in India. In this article, we will briefly discuss the CIBIL score and how to check CIBIL score online.

Financial institutions use the CIBIL score to decide whether a person’s loan should be accepted or rejected. Moreover, the CIBIL score is used by them for determining the principal amount and other associated factors of the loan. Therefore, a CIBIL score helps get a loan by establishing a credit history.

What is CIBIL Score?

As mentioned previously, CIBIL (Credit Information Bureau of India) is responsible for maintaining the CIBIL score of a person. The CIBIL score is a three-digit number based on the credit history, rating, and report. The CIBIL is responsible for getting data from every financial institution, analyzing the data, and creating reports.

To check your CIBIL score online, you can visit the website CIBIL.The steps to check CIBIL score online are mentioned below-

  1. Visit CIBIL website
  2. Click on the ‘Get CIBIL Score” option
  3. Enter the required details asked on the site (e-mail ID, password, PAN Number, Aadhar Number, etc., as required)
  4. Accept the terms and regulations and click on continue.
  5. You will receive an OTP (Time Password) on your registered number. Enter that OTP and continue.
  6. Click on the “Go to Dashboard” option.

Follow the above-mentioned steps to check CIBIL score online.

Once you become a member, you can enter the credentials in the CIBIL website ‘Member login’ option to see your CIBIL score. You can submit the required details on those sites to get your CIBIL score. Moreover, remember that no fees are required to obtain your CIBIL report.┬áIt would be best to avoid shady websites asking for money to get CIBIL notifications.

What is a good credit score considered?

The answer to this question differs, depending on what kind of credit score lenders consider to be a good one. For example, some lenders may require a score of 700+, while others may only require a 700. The best way to find out what a lender is looking for is by using your FICO score as an informal guide. A FICO score of 800+ is generally considered excellent, while scores from more than 799-749 can be considered “good.”

Why is CIBIL Score Important?

Maintaining a good CIBIL score is essential, as you might need a loan in the near future. Along with several parameters, lenders analyze CIBIL scores to know the borrower’s loan repayment capability. The ticket size of the loan depends upon your overall credit score. The better the score, the higher the loan you will get. Moreover, if you have a robust CIBIL score, you can command your financial institution to offer a loan at a lower interest rate.

Conclusion

A good CIBIL score is essential for every person, as they might require funds immediately. Users can develop a good CIBIL score by paying credit card bills on time, using credit cards efficiently, never missing EMIs, etc. Moreover, to check CIBIL score online, users can refer to CIBIL’s official website or third-party reliable financial websites. Apart from the CIBIL official websites, there are CIBIL score app and third-party websites to check CIBIL score online from the CIBIL on your behalf.