CIBIL Score: Due to poor CIBIL score, you are not getting loan from the bank, you can fix it with these 5 ways

Breaking News, Digital Desk- (Credit Score) It  is very important to have a good credit score as it shows your financial credibility. 

Having a bad credit score can make it difficult to get a loan or credit card from a bank. This score ranges from 300 to 900, and a strong score helps in getting a loan easily at a low interest rate. If your credit score has deteriorated, don't worry, it can be improved. Let's know how. 

Take a loan for a long period- 

If you want to improve your credit score, choose to repay the loan for a longer period. This will reduce the EMI and you will be able to pay on time. When you do not pay EMI, postpone or default, your credit score will improve. 

Do not utilize more than 30% of your credit limit

When using a credit card, avoid using more than 30% of your credit limit. This will help improve your credit score. Additionally, continue using your old credit card as long as you can pay the amount on time and in full. This helps build a strong and long-term credit history, which will keep your credit score better in the future.

Avoid taking multiple loans at the same time-

Applying for multiple loans in a short period of time can lower your credit score as banks may consider it a sign of financial instability. One should take as few loans as possible in a given time frame and repay one loan before taking another. 

Avoid becoming a guarantor-

There is some risk in becoming a guarantor because your credit score will be affected if the primary borrower defaults. You should accept such an arrangement only if you are confident of the borrower's ability to repay and their financial stability.

Correct the mistake-

Get a credit report and check it. If you find any mistake, get it corrected. Review your credit report from time to time.