- The first thing in order to maintain a good CIBIL score or improve the CIBIL score is to make sure that you get your CIR regularly and check credit history from time to time. Sometimes it happens that CIR reflects an issue which is due to an error made by your bank or some technical error. In such cases, your score is affected without any default on your part. Try to get the error rectified as soon as possible. Apply only if you have a valid point. Always report such issues on www.cibil.com .
- Make sure that all the dues are cleared well on time. Late payments can affect your score much worse than any other default. Your credit score gets better when all the payments are made on time.
- Try to avoid being a guarantee to a less creditworthy person. You credit score will be affected in case he becomes a defaulter.
- Always try to avail a mixture of credit with a higher percentage of secured loans in comparison to unsecured loans.
- Do not utilize the maximum limit of your credit cards every month. Always utilize only 40-50% of your available credit limit.
- Avoid applying for too many loans or credit cards in a short span of time. This is referred to as credit hungry behaviour, and will not do any good to your credit score.
It is very important to maintain a good CIBIL score if you aspire to pursue higher education from abroad. CIBIL scores are the deciding factors for many financial institutions when it comes to the approval of your education loan. According to a CIBIL report, 79% of the people who have been approved to avail a loan have a credit score of 750 or above. Follow the simple measures mentioned above in order to maintain a good CIBIL score and fulfil your dreams of studying abroad.
Best of luck!