Can You Bounce Back From A Low CIBIL Score?

by Ajay Singh Financial Advisor

The credit score is a very important element at the time of taking any kind of loan from the market. Based on the three-digit financial credit score, individuals are able to get a particular loan from the loan provider. Having a low credit score does not mean you cannot improve it. You can always bounce back from a low credit score with the right credit activities. If you are planning to take a high-value loan sometime in the future, you need to do a CIBIL score check and maintain a good score. There are various ways by which you can improve your credit score over time. Let us discuss some of the best ways by which you can bounce back from a low credit score.

● Make your payments timely. Payment is an important factor that covers 25% of your entire credit score. You need to make your payment timely within the due date that is offered by the financial institution. Whether it is your credit card bill or any loan repayment, you need to make the payment within the due date. If you do not pay your bills on time, you damage your credit score and make it more expensive. Read More : Loan Talks

● Keep your credit accounts open even when you do not use them. Credit accounts are credit cards and existing loans in your credit profile. If you have any credit accounts, with a long credit history you need to make sure that you do not close them. Longer the credit date, the better improvement you will see in your credit score with time. Therefore, if you have a credit card that you have used for a long time maintaining a clean track record, open it for improvement of your credit score. Learn How to calculate business loan by using business loan calculator.

● Pay your bills completely. You cannot keep any pending or overdue amount on any kind of credit account bill. It is true that credit cards offer the option of minimum bill balance but you must not avail it. make complete payment on your bills so that you are able to maintain and improve your credit score.

● Do not keep applying for multiple loans. If you have faced rejection, start working on the loopholes other than applying for multiple loans. When you apply for multiple nodes, it becomes difficult because the hard enquiries run on credit profiles damage your credit score.

Wrapping up

Check CIBIL score online by visiting the official website of Clix Capital. It is important to go through the CIBIL Score check option so that you can improve your score over time.