Improving your CIBIL score (Credit Information Bureau India Limited score) is key to getting better loan terms and credit opportunities. Here are practical steps to increase it:
✅ 1. Pay EMIs and Credit Card Bills on Time
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Timely payments are the most significant factor. Even one missed payment can hurt your score.
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Set reminders or enable auto-pay to stay on track.
✅ 2. Keep Credit Utilization Below 30%
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Don’t use more than 30% of your credit limit.
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High utilization signals risk, even if you pay in full later.
✅ 3. Avoid Applying for Too Many Loans/Credit Cards
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Every inquiry lowers your score slightly.
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Multiple applications in a short time look desperate to lenders.
✅ 4. Maintain a Healthy Credit Mix
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A mix of secured (home, auto loans) and unsecured (credit cards, personal loans) credit improves your profile.
✅ 5. Keep Old Accounts Open
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Older accounts show long-term creditworthiness.
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Don’t close old credit cards unless there’s a valid reason (like high fees).
✅ 6. Check Your CIBIL Report Regularly
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Look for errors like incorrect loan amounts or missed payments.
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You can get one free report per year from CIBIL via their website.
✅ 7. Clear Outstanding Dues
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Any pending dues, even small ones, can impact your score.
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Negotiate settlements carefully — a “settled” status may hurt your score.
✅ 8. Become an Authorized User on a Responsible Person’s Credit Card
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If a trusted family member has good credit, becoming an authorized user can help boost your score.
Would you like help checking your current CIBIL report or planning a step-by-step score improvement strategy?