Search Suggestions
- Gold Loan
- Money Transfer
- Mutual Funds

9 Best Practices to Improve Your Credit Score
There is a common misconception that people who don’t have sufficient financial resources apply for a loan. Using and managing debt smartly can help you achieve your financial needs and goals. However, you must behave responsibly towards credit management. A disciplined approach towards taking and repaying credit will make sure that you always enjoy a good credit score.
Some lenders are willing to lend to borrowers who need a loan but have a low credit score. However, in such cases, the interest rate is higher and the loan amount is lower. In addition to this, some lenders may grant a loan without a credit score too. Borrowers without a CIBIL report are those who do not yet have a credit history or whose credit history is less than six months. You can easily access your CIBIL Report and check your CIBIL score online.
Credit Score Classification
The credit score, derived after a credit score calculation, is the first point of review when a person applies for a personal loan. Given below is the general classification of credit score:
CIBIL Score Range
CIBIL Score Range Rating
- 300-499 Poor
- 500-649 Average
- 650-749 Good
- 750-900 Excellent
9 Ways to help you Improve your Credit Score
There’s no denying that your credit score calculation has a direct bearing on your loan application. You need a healthy credit history to achieve your financial goals without any hiccups. If for some reason, your credit history hasn’t been good or you have defaulted on loan repayments, your credit rating takes a hit. In the future, applying for loans might get difficult with a low credit score. On the bright side, there are ways toimprove your credit score.
- Make timely payments: The importance of clearing your dues on time cannot be overstated. This will not only help in improving your credit score calculation but also helps in avoiding high interest on late or missed payments. You can either set reminders for bill payment dates or switch to auto-payment mode.
- Clear Pending Dues: Have a clear strategy of paying off high-interest loans/ credit card dues first. You can contact your lender for debt repayment options. You can also go for a loan settlement option for some of your loans. Your credit score will take a temporary hit but you can start afresh for increasing the same.
- Increase your credit score through a Personal Loan: Applying for a small personal loan can help you improve your CIBIL score. The lender may be more inclined to grant the loan as its risk is reduced due to the small loan amount. Moreover, repaying a lower personal loan amount will be easier on you. Your CIBIL score improves with the timely repayments of the personal loan.
- Check Your CIBIL Report: Your CIBIL report derives its information from various lenders and banks. It is important to check your credit report periodically and report any discrepancies to CIBIL. Chances are your latest credit history details haven’t been updated with CIBIL and thus have negatively impacted your loan credit score and credit report.
- Improve your Credit Mix: When you have availed of several loans and if the number of high-risk unsecured loans is more than secured loans, it is considered a poor credit mix. Rebalancing secured and unsecured loans can help improve the CIBIL score.
- Avoid Becoming a Co-Applicant or Guarantor: If the primary applicant defaults on a loan, as a co-applicant or guarantor, it will reflect badly on your credit rating too.
- Improve Credit Utilization: Practise responsible credit management by avoiding stretching out your credit limit. Say, for credit cards the credit utilization should not exceed 30% of your credit limit.
- Avoid Multiple Loans: Multiple credit inquiries or loan applications within a recent period may imply that you have insufficient funds to repay older loans. It is a good practice to repay the current loan before taking another one to keep your credit score from getting low.
- Get Your Credit Limit Increased: Based on the credit behavior of its borrowers, lenders may offer an increased credit limit. It is advisable to accept the offer if you are a responsible borrower. The idea is to have a lot more credit but keep your utilization low to help improve your CIBIL score.
How to Check your CIBIL Online?
On the official CIBIL website, you can check your CIBIL score online and also download your free credit report. Many other sites also publish CIBIL details but there might be a fee involved.
- Apply PAN Card Online
- Application
- Eligibility
- Documents Required Forms
- Form 49A
- Form 49AA
- Fees
- Correction & Update
- NRI PAN Card
- Tracking
- Penalty
CATEGORIES
OUR SERVICES
-
Credit Score
-
Gold Loan
-
Personal Loan
-
Cibil Score
-
Vehicle Loan
-
Small Business Loan
-
Money Transfer
-
Insurance
-
Mutual Funds
-
SME Loan
-
Corporate Loan
-
NCD
-
PAN Card
-
NPS
-
Custom Offers
-
Digital & Cashless
-
Milligram Rewards
-
Bank Mapping
-
Housing Finance
-
#Big Business Loan
-
#Gold Loan Mela
-
#Kholiye Khushiyon Ki Tijori
-
#Gold Loan At Home
-
#Sunherisoch
RECENT POSTS

Term Loan Explained: Types, Features, Pros & Cons
Know More
Understanding Financial Security: Meaning, Importance & Benefits
Know More
Flat vs Reducing Interest Rate: Which One Should You Choose?
Know More
What are Sectoral Mutual Funds? When to Invest in Them
Know More
10 Smart Strategies to Repay Your Home Loan Faster
Know More
Paper Gold Vs Physical Gold: Key Differences Explained
Know More
Investing vs Saving: Key Differences You Must Understand
Know More
Understanding How Mutual Funds Work: A Complete Guide
Know More
Top 5 Different types of Short Term Loans in India
Know More
What Is a Digital Gold Loan and How Is It Different from Traditional Gold Loans?
Know MoreFIN SHORTS

Why Digital Gold Loans Are Gaining Traction in 2025
Know More
Gold Price Forecast for the Next 6 Months
Know More
Why Travel Is Now the Top Reason for Indians to Take Personal Loans
Know More
Repo Rate Cuts, Inflation, and Your EMI: Navigating Personal Loans in 2025
Know More
A ₹10,000 SIP Could Turn into Crores?
Know More
NPS Repairs: 6 Big Reforms Everyone Should Know
Know More
4 Reasons Gold Loans Are Popular in South India
Know More
Top 5 Mutual Funds Giving Highest Returns in July 2025
Know More
How to Read Muthoot Finance Share Price Trends Daily?
Know More
Share Price Today: Key Factors Influencing Stock Market Movement
Know More
Top Performing Mutual Fund Categories in 2025
Know More
Why Gold Loans Doubled in 2025: Insights
Know More- South +91 99469 01212
- North 1800 313 1212