Lenders generally look for a minimum score of 750 when reviewing a loan application. The higher your score, the better your chance of your loan/credit card application being approved.
What is the best CIBIL score?
In India, the best CIBIL score to have is one that is 750 or above. Lenders generally look for a minimum score of 750 when reviewing a loan application. The higher your score, the better your chance of your loan/credit card application being approved.
Apart from CIBIL, does any other company issue credit scores?
There are three credit rating agencies (or credit bureaus) that operate in India – CIBIL, Equifax and Experian. They issue a three-digit credit score to individuals that is between 300 and 900. This score gives potential lenders a snapshot of the customer’s credit health.
The credit scores issued by all three rating agencies are equally valid, though the credit score issued by CIBIL is the most widely used by lenders.
What is a good credit score?
When you have a high credit score of 750 or above, banks feel assured that you have a good repayment history and are a low-risk customer. It is much easier to qualify for loans with such a score.
If your credit score is below 750, banks are unsure about your ability to fulfill your repayment obligations and are unwilling to lend to you.
What is an excellent credit score?
Any score above 800 is an excellent credit score and ensures quick and easy access to credit. Not only is approval easier, but lenders and are willing to offer you very attractive loan terms.
What are the advantages of credit score above 750?
A high credit score means that you will have faster access to credit and on much better terms.
1.Your loan/credit card application will be approved much more quickly. With a high score, the approval is completed in a matter of days, if not less.
2.The bank/credit card company will offer you lower rates of interest since they are confident that you will repay on time.
3.A good score might also result in a longer loan period.
4.A person with a high score might also be eligible for a much larger loan amount – again, since the banks are confident that it will be repaid on time and in full.
Whatever your credit score, it is possible to reach 750 in a matter of months. Professional credit management companies, like CreditMantri, can help you take steps to improve your score to 750 and above so that you become loan-eligible, and can avail of all the advantages of a high credit score.