How to Improve your Credit Score



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Credit Score is a number between 300–900 that depicts a person’s financial health. The Better the score, the great a borrower looks to the possible loan lender. Not only will a high credit score assist you in securing a loan, but it’ll also ease the doors to avail of a loan at rock-bottom interest rates. Poor credit might make it harder for you to get a home loan, car loan, or credit card. It also can cause you to have higher interest rates, ultimately making your loan expensive to repay.

If you are planning to take a loan and a bad credit score is becoming a hurdle in your way, you may be trying to improve or increase your credit score. Bad credit does not have to last permanently. There are several tips and tricks to improve your credit score.

Functioning of credit score 

Before coming to the subject of ways to improve your Cibil score, you must know how a credit score works. A credit score is the history of your previous debt borrowed. A credit score plays a vital role in a lender’s decision to extend a loan. A score of 700 or above is observed nearly as good, while a score greater than 800 is considered excellent.  

Here are some methods that will help you to achieve a better free credit score:

  1. Know Your Credit Report: Before figuring out how to improve your credit score, you need to know your initial score. As a credit score is the summary of the information in your credit report, the first step of improving your credit score is by building your credit report. A credit report is a date of your repayment history of previous loans, debt, and credit management. 
  2. Don’t Miss Payments: The repayment history of previous borrowings is one of the dominant factors in determining a credit score, and owning a long history of timely payments can help to achieve excellent credit scores. For doing this, you’ll need to make sure you don’t miss paying off loan or credit card bills by more than 29 days. 
  3. Avoid applying for a new credit card: As long as you’re in credit improvement mode, avoid applying for any new credit card. When you apply for new credit, the lender will usually make a “hard inquiry,” which is an evaluation of your credit that reflects on your credit report and impacts your credit score.
  4. Pay More in a Billing Cycle: If possible, pay off your bills more than once a month. This lowers your credit utilization and will improve your credit score.
  5. First Pay off ‘Maxed Out’ Cards: If you use many credit cards and the amount owed on one or more is close to the credit limit, pay off that one first, it will bring down your credit utilization rate.
  6. Remain Patient and Determined: Being patient isn’t a factor in evaluating your credit score. But this is something you would like to possess while you’re in credit improvement mode. 

Rome was not built in a day, neither will your free cibil score. 

Don’t have a credit history? Get it started!

If you are without any credit history, get started! A positive credit score will help you in nearly every phase of your financial future, whether purchasing a car, buying a home, or even applying for a job.

The easiest way to start is to get a credit card, easy to obtain, and a great way to create solid credit. Use them with great responsibility, being cautious not to overcharge. The solution is to clear your bill on time each month.


Your credit didn’t go down overnight, so don’t expect it to improve quickly. Keep monitoring your credit, keep your expenses in restraint, and pay off your debts on time monthly, which will assist you in boosting your credit score.

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