Ways To Maintain Your Credit Score – An Infograhpic

If you need to maintain your credit score, it won’t happen overnight.Credit scores take into account years of past behavior you can find on your credit report, and not just your present actions. But there are some steps you can take now to start on the path to better credit, read our infographic to know more..

Planning to buy that fridge, TV or mobile phone on EMI? 3 Tips to consider for Christmas shopping!

We are in the midst of the festive season and discounts are flashing everywhere you turn your face. As such, you would be tempted to buy that TV or fridge or phone you were ardently longing for, but couldn’t lay your hands on them considering the enormous price. “Not anymore!” — proclaims one of the advertises on a famous online e-commerce website. These concerns no longer exist because of the advent of EMI facilities on expensive online products.

EMI or Easy Monthly Installment actually feels like it was invented keeping the Indian customers in mind. With festivals dotting the Indian calendar all around the year, and a prosperous population a.k.a. ‘Market’ to consume anything and everything the world has to offer, it just makes sense to make buying easier for buyers. This is especially true when you know they will be buying more this way. However, as a customer, you should always be cautious and clever when practicing this seemingly powerful facility to buy things beyond your capacity. Credit cards and EMIs while feasible could prove to be a big headache if dealt with clumsily. Here are a few tips you should remember whenever you plan to buy online, especially electronics on EMI:

Tip 1: Choose The Right EMI Option
When you are looking to buy a phone online on EMI with your Credit card, you have to be mindful of certain payments. While there is a good 12% to 18% interest rate on the EMI, some brands and banks even offer a 0% interest rate. Banks try to mitigate their losses by performing credit risk assessment before allocating you a loan. Most banks such as HDFC, SBI, ICICI etc. offer you with EMIs ranging from a period of 3 to 36 months.

Take the example of an iPhone X which is available at a discounted price of Rs. 79,999/- on Flipkart and which can be purchased using the EMI facility. Here, ICICI bank is offering multiple standard plans from 3 EMIs at 13% PA i.e. 27,247 p.m. to 36 EMIs at 14% PA i.e. 2,735 p.m. Also, you need to do the down payment along with a one-time processing fee (generally 0.5 to 1% of the total amount) and then pay the remaining amount in installments. Which means for an EMI of 3 Months, you will be paying a total of Rs. 81,741 i.e. Rs. 1,742/- extra while for an EMI of 36 months, you’ll end up paying Rs. 98,460/-, which is a whopping Rs. 18,461/- extra. This is an amount in which you can easily buy another decent smartphone.

If you are genuinely looking to buy something without the hassle of interest filled payments , then the best option is to look out for a‘0% interest EMI’ or ‘No cost EMI’. There are only a few banks which provide you with this option compared to the standard EMIs. Hence, you need to ensure your bank provides you with this facility so that you can avail its benefits. There is a certain one-time charge that they accrue though. But it is still a feasible option than standard EMI.

Let not the lure of paying less amount each month fool you into paying much more than the actual price. It is advisable to choose a moderate tenure of EMI where you can pay the monthly dues without much sweat while keeping the interest rates under control.

Tip 2: Buy Only The Essentials
Most e-commerce websites entice you with the option to buy expensive products online using Easy EMI options. The algorithm of the online websites is such that you will be searching for a TV, and a suggestion for a home theater will be displayed on the page end. You would be looking for a mobile phone, and a suggestion for covers and screen guard will pop up. All these fascinating offers are only good to bewitch you and make you spend more than you had initially planned. Whenever spending, you need to analyze and decide whether the amount you are willing to pay is congruent with your current financial situation and needs. Always remember that whether it be a TV or a fridge or a phone, it is just a product and not an asset. Hence, the value will only keep depreciating over its limited lifetime.

Tip 3: Pay Your Dues On Time
An EMI paid from a credit card is deducted wholly at one go. That means If you want to buy a TV worth 50,000, your credit limit should be at least 50,000 or more to deem you eligible. When you purchase anything on EMI, the whole amount is deducted from your credit amount and you are required to repay this amount in EMIs to your credit provider. Pay your dues on time and avoid defaulting. In this way, your credit score will also be maintained.

Hence, if you are planning to buy a TV, fridge or mobile phone this Christmas, always go for an EMI option which does not stretch your finances beyond limits. Keep your heads on your shoulders and do not get carried away in the festive fervor. We at CRIF hope you enjoy Christmas and keep your spirits & credit score high!

Went Overboard On Your Finances This Festive Season? 3 Ways to Come Out Of It

Diwali, Christmas and then New Year brought along with it a lot of celebration, jollification and merry making. The long holiday week saw a surge of people flooding the roads and skies, cross travelling between cities and countries. Gauging the streets filled with frantic shoppers, shopping it seems, has reached an all-time high. People are desperately trying to keep up with the lofty lifestyle of this generation. With all the glitter around you, you are compelled to believe that If you are not spending, you are not doing it right. Certainly then, all this subsistence comes with a price tag. Considering you too went a bit overboard on your spending this festive season, here are some tips to get you back from your financial guilt-trip.

1. Get rid of your credit card, well just temporarily
Do this right now. Hide your credit card and forget about its whereabouts for a month! Seriously, that’s the only immediate way to escape further debt. While we know this is not practically doable, but having a credit card handy post is like lingering around the forbidden fruit, one bite, and get ready to be kicked out of the garden. Resist the temptation if you don’t want to bleed your credit score further. You can use a debit card instead to avoid the risk of debt. Better still, is to use a digital wallet or withdraw the old fashioned cash from the ATM and spend the same. In this way, you have a limited resource to spend from which keeps you aware each time the amount is deducted. The point is to pause your credit card usage for a while until things settle down!

2. Instead of buying new stuff, sell or exchange old one
Instead of indulging in buying something new, learn the art of selling, recycling and reusing. There are quite a few unused things in every house which can be either reprocessed or sold off. With various online portals at your disposal, selling has become as easy as buying. Those items which lay unused occupying your space could be sold off for a goodly return and for good. If you are not among the ones to engage in the hassle of selling, then you may look out for exchange offers. There are offers on electronics and clothes where you can exchange old ones in return of a new one minus the value of the old.

3. Prioritize on clearing your debt
Stress on clearing your debt first. Maintain due diligence wherever possible. Even the seemingly trivial expenses such as having outside food and drinks, turning off your AC/lights, cutting down your car drives, avoiding using debit/credit card in place of cash, avoiding unnecessary purchase of things could collectively have a significant effect on your savings. In this way, you will be able to repay the monthly EMIs on time and pay at least the minimum due credit card amount. You will also learn some discipline and could even inculcate this as a habit thus helping you in the long run to improve your credit report.

Now that the festive season is over and the damage has been done, it is time for you to scrutinize your financial health. In India, you are entitled for free credit score from any of the four bureaus authorized by RBI. Credit scores can vary across the bureaus and an overall score of 700 and above is considered healthy for all.

Seth Godin, an American author says, “People do not buy goods & services. They buy relations, stories, and magic.” This quote indicates that our buying decisions are not completely based on rationality but are driven by some emotional impetus such as Love, Pride, Ego etc. We don’t just want to buy a utility, we want to buy a memory. Hence, while buying, we tend to prefer something expensive over useful in order to maintain our status.

The company you have while shopping also matters a lot as they influence your buying decisions more than you think. You only realize what you have purchased once you are in the ecosystem of your own house. Spare yourself this emotional atyachaar by keeping your head on your shoulders while shopping. If you comply with the above laws, you will soon find yourself out of this financial mess!

Learn To Be A Smart Borrower This Festive Season

This New Year, learn to be a smart borrower in the Super-hero way!

The susceptibility to become a spendthrift becomes more during the Christmas and New Year season. As the festivities are about to start, we are sure to buy gifts for loved ones, appliances for home and jewelry in abundance because of the irresistible offers that dominate the market. At this time of the season there are loans that people avail to buy expensive things. Often they throw caution to the wind to take advantage of a festive deal.

But does waiting for the festive offers to kick in so that you can save money make you smart? Are you really saving money? Is it a smart decision to splurge during the festive season? Let us break down the steps you should keep in your mind in the Superhero way while you decide your expenses this festive season.

With great festivals comes big expenditures!
It is essential to plan your shopping spree beforehand. As Batman said “with great power comes great responsibilities” so in a country where every festival is celebrated magnanimously it may get difficult to curb your expenditure. Don’t let the festive mood get the better of your financial judgment. It’s important to differentiate between what you need and what you want to avoid (impulsive shopping!).

Make a list of the things you are planning to buy based on affordability and try to stick to it. You should do a meticulous comparison of the available products and look for the best deals before you zero in on an item. Rein in your horses and take objective decisions.

This is my gift, my curse. Who am I? I’m Credit Score.
As Spider-Man accepted his powers as a gift, you should enhance your credit score and use it as gift too. Maintaining credit score is important and it is not unknown to anybody who handles finances on their own. If your credit score is 700 or above, then you are eligible to get a loan to fulfill your wishes. In case it is lower than 700 then you should mend it before it becomes a curse.

Your overall financial health is reflected in credit score and to make it better one must do payments and repayments on time, do a yearly check on the score and use credit in a wiser way. If you are looking for ways to ensure you keep your credit score, well above average, then don’t forget to read our blog,“7 Surefire Ways to Improve Your Credit Score”

Life doesn’t give us money, loans give us.
Getting a loan is easier now-a-days if you meet the eligibility and parameters like good credit score and report. Consumer durable loans are an amount of money lent to an individual for personal, family, or household purposes. Consumer loans are monitored by government regulatory agencies for their compliance with consumer protection regulations such as the Truth in Lending Act.

It is important to know whether you can pay of the loan that you take for buying or the amount that you are paying back does not have a vast difference with the principal amount of the loan. The super hero Flash says “Life doesn’t give us purpose. We give life purpose.” just the way loans work for consumers. Remember to take up a loan that has a considerably lower tenure but higher EMI, this eventually saves you money and gives better interest rates.

In a world of ordinary mortals, Discounts are a wonder woman.
As wonder woman says, “In a world of ordinary mortals, you are a wonder woman”, here the regular prices are ordinary mortals and the heavy discounts and offers are the wonder women while you buy your dreams. The festive season brings in best of offers and discounts, slashing out the price as low as possible. It is your duty to do your research thoroughly before you cash in on any offer.

As Superman say “I hear everything. You wrote that the world doesn’t need a savior, but every day I hear people crying for one”, CRIF is the super hero that helps you measure your credit score in the most accurate way so that you are financially aware and plan your expenses in such a way that you save more and spend less.

Why Do Banks Love To See The 750+ Mark On Your Credit Report?

When you apply for a loan of any kind, irrespective of your background or your ability to pay a lump-sum in your down payment, one important tool that helps the bank trust your ability and your intent to repay is a good credit score. Since the time credit bureaus have come into the picture, a credit report has become a financial bible for the banks.

A credit score is an aggregation of all your loans and credit cards. It reflects your creditworthiness and credit health. A score between 750 and 900 is the equivalent of an A/A+ on your school report card. It implies you’ve been very responsible with your credit, paying your EMIs and dues on time and in full each month. Even if you had a low score at one point, you’ve worked hard over time to reclaim a top spot on the credit score charts. In short, you’re very mindful and responsible when it comes to credit.

Your score also reveals that you’re a relatively safe bet when it comes to borrowing money from a lender or availing credit card facilities. According to credit bureaus, the lowest interest rates tend to go to borrowers with credit scores in the 750-900 range, which means your high score will also help you save money down the road. Besides these advantages, a 750 above score is also loved by banks. Below are the some of the reasons:

1. Judging your reliability becomes easier: The credit bureaus like CRIF are RBI regulated and for scoring an individual they employ sophisticated statistical analysis of your repayment performance on loans and credit cards listed in the credit report. A credit score takes into account many parameters, and helps bank predict future riskiness of a customer. The credit score thus becomes one of the major criteria for the bank.

2. Saves the bank a lot of time: The credit score is a sum of your loan repayment behavior so the bank saves a lot of time in analyzing how your credit behavior is or your ability to repay. The loan sanctioning process is simplified and is a lot faster. As a customer, you get your loan decisions fairly quickly.

3. Accuracy is on point: Initially, the traditional ways were adopted to verify an individual’s credibility which differed as the process depended on varied sources thus making the results volatile in nature. Since the time credit bureaus like CRIF have come into the financial world, the decisions have become more objective, data driven and also standardized. Therefore, the accuracy of the decisions have improved and also more dependable.

A good credit score is the magic wand that does the trick on banks when you apply for your loan to fulfil the most awaited dreams. The banks come across thousands of application for loans and the credit score helps them accept or reject applications in a more organized way and also quite quickly. A bad credit score can make you a risky bet while a strong credit score is encouraging to banks, ensuring you get the best deals out there, which saves you time, money and worry.

How Do Credit Bureaus Get My Information?

For this week, we get into the nitty gritties of understanding how a Credit Bureau works and why you should be trusting only RBI approved bureaus that play a crucial part in generating your credit score.

Credit Bureaus or Credit Information Companies (CICs) are RBI regulated institutions that help determine your creditworthiness. To be precise, Credit Bureaus are institutions that collect information about your loans and credit cards, and create credit reports that help in generating your credit score. To help put your mind at ease, let’s simplify the entire process of how credit bureaus work to make your credit report.

Credit Bureaus, what do they do?
Credit Bureaus are known as Credit Information Companies (CICs) in India. CICs are licensed by the central bank (RBI) since they are a fundamental part of the financial ecosystem. In India, there are four credit information companies – one such is CRIF High Mark. The role of a Credit Bureau is to gather loan account information from various creditors and provide it back in the form of credit report to similar creditors. The vision behind creating such centralized bureaus was to improve the functionality and stability of the Indian financial system by containing non-performing assets (NPAs) and improving credit grantors’ portfolio quality.

The credit bureau collect repayment information of all loans and credit cards of an individual or a business on a periodic basis from all type of lending institutions across India, so as to create an accurate representation of one’s credit history. The data CICs gather is merged across all loans that an individual or business across multiple lenders under one credit report and a credit score is then generated that reflects the data in that credit report. The more negative information you have on your report- like missed payments, debts, etc.- the lower will be your score. This score is then used for various purposes like granting a loan or credit card or make more loan offers.

Creditors, who are they?
Creditors are none other than all lending institutions in India such as Public Sector Banks (SBI, PNB etc), Private Banks (ICICI Bank, HDFC Bank etc), Foreign Banks (Citibank, HSBC etc), Co-operative Banks (Saraswat Bank, TJSB etc), Regional Banks, NBFCs (Bajaj Finance, Tata Capital, CapitalFirst etc), Housing Finance Companies (DHFL, HDFC Ltd) and MFIs (Satin, Arohan etc). RBI mandates all such lending institutions to share data of all the existing loans and credit cards of individuals and businesses with each credit bureau at least once every month. This data also includes personal information about the borrower, details of loan availed (type of loan, sanctioned amount, when was it taken, etc.) and the current position of the loan like its outstanding amount, overdue amount, when was the last payment done and many more details. The data is shared in a standardized format overseen by the RBI.

Credit Reports, what’s in it?
A credit report is an aggregation of all your credit history. It includes information about your credit accounts such as the type of account, the date it was opened, your credit limit or loan amount, your account balance, and payment history as well as any collections that are in your name. Your entire credit history is a record of your borrowing and repayment activity on credit and loan accounts.

Credit Reports, what role does it play?
Credit report determines your credibility or creditworthiness, which means whether to give you loan or not- for mortgage or automobile or education or for just about anything; interest rates to be levied or credit limit to be allowed on a credit card sanctioned to you; and in cases, employers too can check as part of your application process for a job. In some countries, landlords check whether to rent out their property to you or not. So, theoretically speaking, credit report does affect your life in many ways and more importantly your decisions or desires in life to scale up and grow.

A Credit Bureau is thus a central information platform necessary to create a credit report that may reflect directly on your credit management. So, whether you are financially savvy or not, whether you are looking for loans or not, try keeping your score higher by maintaining good habits regarding your finances and keep checking your credit score at least twice a year from RBI approved credit bureaus, such as CRIF.

What’s In Your Credit Score?- An Infographic

Check out our infographic to know what affects your credit score and how your actions could improve or hurt your creditworthiness. While various credit scoring models may weigh each factor differently, we’ve listed out the most important ones for you.

Just entered your first job – Start Building your Credit History too

It is simply a great feeling when your first salary gets credited into your bank account. Getting financially independent is certainly an achievement, but at the same time, it comes with equal responsibilities. Knowing one’s urge to spend and more so these days over digital means, banks start approaching you for credit cards and you also start getting excited and apply for a couple of most rewarding credit cards. But alas! the credit card application gets rejected. The Reason, you don’t have any credit score – i.e. no history found in credit bureau. However, you shouldn’t worry, as building a credit history is not a tough thing to do.

The first steps to Building a Credit Score

The best thing you can do is to just start off with applying for a credit card with the banks you are holding a Savings Account already or where you open your Salary account. You can also apply for one of the basic cards, to begin with rather than going for the most premium card the bank has to offer. Specially designed credit cards are now being offered by banks to those who have just joined the workforce. If you are employed in the public sector or with reputed private companies, you may be eligible for a credit card based on your salary slip. If you are not getting a credit card even from the bank where you have salary account, you can apply for a secured credit card against a fixed deposit – you can begin with as low as Rs. 20,000.

Another way of building your credit score could be exploring the exciting zero-cost EMI offers offered by financiers for mobile, bike or laptop. These also require a credit score for approval, however, many of the lenders approve loans for people with no credit score.

Maintaining a good Credit Score

Since now you have begun building your credit history, here are a few tips to maintain a good credit score too:

  • Use your Credit Card, though control your spends: Just getting the credit card will not get you good credit score. Try spending only up to 40% of your credit limit to keep the balance low it will help you repay the full amount on the due date.
  • Repay your card dues and EMIs in time: A consistent regular repayment on your card dues and EMIs will definitely help you with a good score. If you took an education loan, repaying when EMI’s become due also helps you build a credit score. If you become delinquent and default on your education loans, your credit score will be negatively impacted because the lender will report that you are not in compliance with the terms of your loans.
  • Limit Your Applications for New Card or Loan: Too many credit inquiries on your profile by banks whether they be for a credit card or a loan also can also bring down your score, so make sure you’re only applying for credit only when it really is necessary. Select a credit card and a bank after doing research rather than blindly applying for credit with many banks.
  • Checking your Credit Score regularly: Don’t lose the good credit score you’ve worked for! Just like a car that fails to work if not maintained, credit history too can fail to work if it is not maintained. Tracking your credit score every quarter helps you stay on top of your own credit report and thus, maintain a good credit score.

Now that you have mastered the art of building and maintaining a good credit score, pat yourself on the back and start dreaming for the better things in life, right from the newly launched bike to the latest I-Phone to a swankier car and a beautiful house, you can have it all…!!

 

How I Raised My Credit Score By 250 Points

I had already unfolded the climax in my previous blog, on how I was being denied higher education due to my own credit mistakes. This blog is essentially the return of the hero who fights with bad credit and lives happily after with a great credit score.

850. That was the number printed on my latest CRIF Credit Report. Read ahead to know – How I Raised My Credit Score By 250 Points.

Credit Score = Trust?

One of the premises of a civilization or society is its need for safety. It is because of this need for safety from the wild did the early human start forming communities. Humanity has evolved and advanced a lot from them, but the basic need for safety is perennial. It is very important to have those few trustable companions or entities who make us feel safe.

Since the age of the Kings and the Landlords, the practice of lending also pivoted around the similar element of trust. Lending has transformed from being a local, personal referral based activity now into a very large industry backed by digital systems and a sense of trust emanating from the use of data sciences. The industry allows instant lending and peers to digital peer-to-peer lending on basis of data-backed trust that the person taking the credit will pay back after the pre-defined time. This data-backed trust comes from the “credit scores” provided by the Credit Bureaus by understanding behavioral patterns from the millions of records of individuals such as you and me.

I realized that I had to improve my credit score from 500 so that a bank can begin trusting upon me to repay its money. In my quest to improve, I began analyzing my credit report against the five major factors that form the basis for a credit score. And voila, I had devised a clear plan of action to seize control of my credit situation-

  • Payment History : my credit report clearly reflected my negligence around making payments towards my credit card dues. I would generally pay up money only after many follow-ups from the credit card companies, perhaps this was one of the most important factors barring me to pursue my dreams. I immediately cleared pending dues on all of my credit cards and vowed to now pay full dues at least 3 days prior to the due date.
  • Age of Credit : I had 4 credit cards. Since now I have to pay on all cards in time, I decided to close 3 of these cards. I decided to maintain the oldest credit card I had, as the higher age of credit means a better credit score.
  • Credit Utilization : The average spend on each of these 4 cards was nearly 80% of the assigned credit limit. This meant that the credit utilization ratio was 80%, which ideally should be 30-40%. The credit card I chose to retain was linked to my salary account. My banker helped me get the credit limit of this card increased. This enabled me to enjoy higher credit just with one card, but have a low utilization. I crossed my heart to not use above 25% of the allowed credit limit at any point.
  • Type of Credit : I pledged to explore a car loan (secured loan) and diversify from just having credit cards (unsecured loans). And the next year when I had a slightly better credit score, I took two additional loans, one for buying a car and the other for buying a laptop and paid them off in the same year. This allowed me to add different types of credit as well as provide better evidence of my credit behavior.
  • Number of Credit Inquiries : This did not seem to be a problem for me, however, I have since then avoided unnecessarily applying for credit cards or loans.

12 months of discipline had helped me improve my score from mid 500s to 670, it helped me get a car loan — but it wasn’t enough to help me fulfill my dream. After another six months of care, my credit score was above 750 and I was packing my bags to leave for an MBA. All I needed was a basic understanding of credit score and discipline to follow my plan. Last month I repaid my education loan but still continue to follow the rules I set for myself 5 years ago. As you read my story, let me tell my credit score as of today stands above 850.

Today, in parts of the world, your credit score can stand in your way of getting accepted as a tenant, employee or even spouse. Hence it is becoming paramount to manage your credit score to maintain your credibility not just for getting loans but for fulfilling your dreams. Don’t let your ignorance hamper your dreams.

Get Educated and Educate Others. Journey to happy credit starts here – CRIFHIGHMARK CREDIT REPORT

About the Author: Subhankar Mishra works as Service Delivery Manager at CRIF High Mark, India’s largest Credit Bureau database.

How often should I check my credit score? – What’s the myth? What’s the truth?

Credit Score is one of the most important factors of your financial credibility and often people are confused about various things related to it. ‘How to check score?’ ‘When to Check Score?’ ‘How many times should you check it in a year?’ are some of the most commonly asked questions. It is important to know your answers, know the truths and myths behind them.

Firstly, answering the most frequently asked question, ‘How often should I check my credit score?’ The answer is you can check it however often you wish to. It is a common myth that checking your own credit score frequently has a negative impact on your score. There is some negative impact on your credit score if you apply for new loan or card very often or with many banks at the same time, as the banks would make as many ‘credit inquiries’ with the credit bureau. With high number or frequent ‘credit inquiries’, the credit bureau believes that you are desperate to get a fresh loan, therefore, considers that behavior negative.

Having said this, it is not necessary to check your credit score all the time or every day. Let’s guide you through the ‘how’ and ‘when’ to help you determine the right time to check your credit score.

Who should check credit score?

A credit report is generated only when you own a credit card or have a loan taken in your name. Credit scores are calculated from the credit report. Therefore, whoever meets the above criteria is likely to have a credit score. All such people should certainly and regularly check their credit report and credit score.

What If You Never Had a Credit Card or Loan Before? When you have not borrowed in the past or have never had a Credit Card or a loan, there will be no updates about you with the credit bureau, who mark such cases as NH or ‘No History’. Due to a lack of details, the credit bureau will be unable to comment on your payment behavior. In such cases, we advise to start building your credit score and checking it once a year. For more details , you could visit our blog What do banks see when they look at your credit report?

When should you check your credit score?

When to check credit score completely depends on your comfort level and your credit activity. Checking your credit score once every quarter is perfect but people often check it twice a year or even monthly at times. The credit score should be checked and the credit report reviewed at least once in a year that’s a minimum!

It is important to remember that checking your credit score on your own does not impact the credit score at all, even if done very often. In fact, keeping a track of your credit score frequently makes sure that you are aware of your creditworthiness, you are taking informed decisions about your credit, and you have a clear picture about when and how to maintain your credit score. A quick reminder, avoid focusing too much on the day-to-day changes and try to identify the overall trend in your credit score. Below are some reasons why you might want to check your credit score or credit report:

  • Before applying for a new credit card or loan such as housing loan, auto loan to avoid any surprises
  • While building or improving your credit history to keep a track of your credit scores
  • After settling off or closing a loan to know if the updates were made

When Not to Check Credit Score?

There is no such time when to avoid the credit score. The importance of credit score has been talked about in every other financial article. It has to be a part of your yearly routine at least to stay updated and informed.

Even when you have good credit score, it is important to keep an eye on any drops in score or inaccurate information on your credit report and to ensure that it is maintained above acceptable thresholds. If it is on the lower end, make sure you change your habits and take conscious steps to bring it up. Also, minor changes on your credit report or credit score should not be a cause of concern as these are expected to happen. So checking credit score daily can be avoided.

How to check your Credit Score?

There are various online websites which give you credit score, but the source of such credit scores would be one of the four RBI regulated credit bureaus such as CRIF. When it comes to finances, you ought to trust the expert and give importance to data security.

One of the trusted way to do so is check it from CRIF, a RBI regulated credit bureau. You are entitled to check a credit score and credit report FREE once in a calendar year from CRIF. Checking your credit score is easy three step process – fill your personal details, confirm your identity and download the report.

There is no right time or right day to start keeping a track on your financial credibility. Informed or Unaware, choose wisely.