In simple words, acredit score is a measure that displays a person's ability to pay the borrowed amount back to the lender. In financial terms, this 3 digit number represents their creditworthiness. The range of a credit score will be between 300-900, with 300 being the lowest and 900 being the highest.
In India, the credit bureau calculates and findsthe credit score of each individual in the country. This score is decided after taking into consideration various factors like,
When you wish to apply for a credit card or any loan from Banks or NBFCs, with a high credit score, you might receive better benefits like,
Now you can check credit score online and here are the steps thatyou can follow to get your free credit score
1. Visit https://www.ruloans.com and click on the credit score icon on the right-hand side of website.
2. Enter your first, middle, and last name along with gender and date of birth.
3. Add your PAN details, mobile number and an OTP will be sent for verification.
4. Add your phone type (mobile, home, office) and email ID along with email ID type (personal or office).
5. Finally, add your residential address, city, pincode, state, and which loan you want (Personal loans, home loans, business loans, car loans, loans against property, gold loans, loan against shares or securities, consumer loan, education loan, loans for professionals, and credit card).
6. After you submit all these details, your credit scorein your free credit reportwill be then displayed on the screen.
Please Note - Fill the details accurately and to the best of your knowledge. If you enter details incorrectly, your credit score will not be accurate.
Equifax Credit Information Services Private Limited is one of the oldest credit information companies & happens to be the largest credit reporting agency headquartered in Atlanta, USA.They are known to providecredit reports for individuals and businesses and have tied up with major banks and institutions in India.
Your credit score reflects if you are creditworthy or no. If your score is on the higher side then Banks understand you are a responsible customer who will repay EMI and bills on time. Also, a higher score implies that Banks will mostly approve your loan application 9/10 times.
PAN Card information helps us in obtaining the person's credit score in the most accurate manner. Using other Identity proofs, Banks can still identify the credit score of a person.
When you inquire to check your credit score, it's called a soft inquiry and hence your score won't be affected. When you wish to apply for any loan, Banks make a hard inquiry and hence your credit score will be impacted slightly.
Apart from identity proof, the individual's phone number helps Banks identify the person and the credit records too. Your phone number helps in verifying records.
You will be pleased to know that there is no limit for you to inquire about your credit score. Since it's a soft inquiry, there will be no credit impact on your credit score.
The credit score is a part of your credit report. Whenever there is a positive or a negative impact on your credit report, there will be a change in your credit score.
Eg: When you apply for a loan, Banks will make a hard inquiry and check your credit score. This is a negative impact on your credit report and hence your score will be impacted.
Depending on credit rating companies, a good credit score will vary. In general, scores above 700 are considered to be a good credit score. Any score below that is average and hence must be worked upon.
Various factors will be considered while calculating your credit scores like information on past loans, current credit cards, information related to your Income tax, bankruptcy (if any), and hard inquiries made by Banks too.
Depending on your credit history, your credit score will be affected. Having multiple credit cards is not a problem. But your utilization ratio is important. If you have a lower utilization ratio, it's good for your credit score. If youhave a higher utilization ratio, it's bad for your credit score.