Have you ever wondered why many Loan Applications fail???


  • A Credit Score provides information about “Chances of Default” by the person
  • An assessment of credit score is done on Credit History of the person
  • Rating is given as a 3 digit number point, highest being 900
  • The more closer a person is to 900 points, higher is the confidence of the lender in the ability of the person to repay the loan
  • CIBIL Score plays an important role in Loan Application Process

Percentage of Loans Sanctioned Based on CIBIL Ratings

Your CIBIL Score

Interpreting Your CIBIL Score

CIBIL score is classified in three different categories

  • NA/NH
    1. A person who does not have credit history
    2. There Is not sufficient credit history to rate
    3. No credit history in the past two years
  • Risk Grading - Scale of 1 to 5
  • This rating is used for individuals who have a credit history of less than 6 Months

    1. Risk grade of 1 & 2 signifies higher risk
    2. 3 signifies moderate risk
    3. 4 & 5 implies low risk
  • CIBIL Score 300 – 900
  • For those individuals who have a credit ratings of more than 6 months

    1. Score denotes credit worthiness
    2. Higher the score lower the chance of default
    3. CIBIL score also helps in deciding interest rate on the loan

How To Improve Credit History

  • Always pay bill on time
  • Higher utilization of credit cards as a proportion to limit can be considered negative i.e. Limit on card is Rs. 1 Lac and Rs. 90k is utilised
  • Have a healthy mix of credits rather than owning too many credit cards
  • Think before closing a credit card a/c, an used card implies that the person is financially secure
  • Credit hungriness is considered as negative sign – Avoid repeated application for loan/credit cards
  • Review your credit history throughout the year

Above mentioned are few point, however every lender have their own policy before approving a loan/credit card

How To Get Your CIBIL Score

  • One can approach Credit Information Bureau and request for Credit Score
  • Request for Credit Score has to be submitted online
  • First step to fill and submit and application along with fee of Rs. 470/-
  • On submission of complete information the score will either be emailed or send to your mentioned address