Improve Low Cibil Score: The credit score is very important factor while applying for online or offline loan from any bank or financial company. Today we will discuss about the issue of low CIBIL score or low credit score. many users are facing low credit score and are in trouble increasing their cibil score. We will share with you some tips which are designed by specialist of financial applications in banks. If you follow these tips then your credit score will also increase & Improve Low Cibil Score as well as you can also apply for low interest rates loan from any bank or company.
Improve Low Cibil Score 2023 [900+]
First of all we should know about the CIBIL score and how it goes low or high. CIBIL score is a ranking which is provided by the banks and financial companies according to the activities of their customers. if your stable score is high then you will get easy loan with minimum interest rates. but if your cibil score is bad then you will get problem while applying for loans and companies will charge you high interest rates.
The cibil score is the number between 300 to 900 where if you get more than 750 cibil score then it is called a good CIBIL score. but if your CIBIL score is less than 600 or 550 then it is called low CIBIL score. The CIBIL score is one of the indicator which shows the trustability of the customer. Customer faces problem while applying for any loan with a low cibil score. companies are providing low credit score loans to their customers but they are charging high interest rates. Some companies are charging interest rates between 15% to 36% annually. it is very high.
How to Improve Low Cibil Score?
You can follow these tips which will help you to increase your cibil score and make you trustworthy among the banks.
Maintain your credit limit
Banks are providing various credit limits to their customers but you need to focus on not using 100% your credit limit. If you are required then you can use a maximum 30% of your credit limit. This practice will increase your trust with the bank and bank will increase your credit score.
Repay the payment timely
The main causes of low cibil score is not repaying the loan amount timely. You should select for your EMI for returning the amount of loan which you are using from the particular Bank. If you do not submit the EMI monthly according to the time then bank will reduce your credit score instantly. so if you want to increase your credit score when you have to submit your EMI timely.
Multiple credit cards
Many customers are using multiple credit cards which is not bad. but every time when you apply for a new credit card in any company then the system prepare your previous credit card report on the screen. Sometimes multiple credit cards reduces the cibil score of the customer. So, if it not necessary then you should not carry multiple credit cards.
If your cibil score is low then you will get high interest rate loan from any bank. however if you want to increase your cibil score then you should apply for small amount for loan. and you should focus to submit your EMI timely for this particular loan. this practice will increase your cibil score and bank will provide you the higher amount of loan next time and the bank will continuously increase the amount of the loan time to time and they will also increase Your cibil score.
Do not ask unnecessary loans
You should avoid to ask unnecessary loans from banks or any other new financial company. If you are sure that you will repay the amount of loan timely to the bank then you can ask for the loan. but if you are asking multiple loans from multiple banks then it will make a bad impact on the banks about your behaviour. However if you are timely repaying the loan then you will not face any problem while applying for personal loan
So these are some tips which are helpful for those customers who are troubling with low CIBIL score and are not getting loans from banks. If you highly need the money then you can contact to various online mobile applications which are providing online loan to their customer by using their mobile application. but you should remember that they will charge maximum 36% interest rates according to your CIBIL score.