Eid-e-Milad commences in just a few days, which marks the annual commemoration of the birth anniversary of Prophet Muhammed. The day is entirely dedicated to Prophet and Islam. The festival is celebrated during the third month according to the Islamic calendar. With celebrations everywhere, families will now be turning to buy new clothes, sweets, decorations, and happiness in other forms. Naturally, there will be a direct impact on our wallets. That’s when we must turn our attention to our financial health, a metric of which is our CIBIL score.
This Eid-E-Milad, let’s see how we can improve our CIBIL score for more prosperity.
Many of us wonder about ways to improve our CIBIL score, but no one thinks of the consequences that can strike through if we have a low CIBIL score. Having a low CIBIL score is an invitation to plenty of trouble.
Primarily, financial institutions will have a hard time trusting your loan repayment capacity and might not find you worthy enough, putting you in the spot of paying a hefty interest rate. In some sporadic cases, they have the flexibility to disapprove your loan application.
Having a good CIBIL score reaps your benefits in the long run. Therefore, if you start analyzing your repayment habits, there are chances to improve your CIBIL score, which will eventually bring plenty of advantages.
In addition to paying less interest, one can enjoy many other benefits with a good CIBIL score. Not only does your loan get approved without any hurdles, but your credibility also increases. The best part is that there are several ways to improve your CIBIL score.
A low CIBIL score for a very long duration could put you in the default slot. Some of the primary reasons why you have a poor score in the first place are:
So, what is the right way to improve your CIBIL score?
Let’s check some of the top tips.
CIBIL score goes from 300 to 900. A score that stretches between 300 to 549 is a poor score. However, a score between 550 to 650 is average. A score that crosses 750 is considered excellent.
Here are 4 tips that will help you improve your CIBIL score:
Yes, you heard that right. Don’t fall into the minimum due fuss of credit cards. This is a religious ceremony attempted by every credit card company when they generate the bills for the borrowers.
Usually, the minimum due is 5% of the balance in a specific billing cycle. One can fall into the trap of minimum due to escape from the situation. However, the add-on interest and tax continue to add to the subsequent bills. Therefore, paying your dues in full when you are paying your credit card bill is best.
The idea of a personal loan for Eid celebration could help you get rid of your credit card debt. Instead of delaying the payments, you can opt for a personal loan to clear off the dues. The personal loan interest rates offered are available at a minimal cost. It can be availed at an interest of 11-25%, whereas for a credit card, it can go up to 30-40%.
You can quickly pay off your bill when you apply for a personal loan online. Moreover, your CIBIL score will also increase simultaneously.
When you check your credit report online, make sure to check if there are any discrepancies. This could either be your name, age, or date of birth.
Don’t forget to report the same to CIBIL as soon as possible. Also, it is essential to submit the discrepancy to the bureau, especially when there is a mismatch.
During festivals, we often find ourselves short on cash. Rushing to your nearby ATM and using your credit card to withdraw cash or dip into your savings are ideas you can use when in extreme urgency. During festivals like Eid, one can opt for a personal loan that will be of great assistance, especially when you need cash. Additionally, using your credit card for withdrawing cash will accrue high-interest rates.
To improve your CIBIL score, these are the points one must consider. Having a CIBIL score that is beyond 700 can go a long way.
We all come across situations where our CIBIL score affects other factors. Improving the CIBIL score is important and happens over time.
Festivals are a great time to improve your CIBIL score. Through Fullerton India, one can apply for a personal loan online. Moreover, with flexible interest rates, opting for a personal loan EMI is flexible to conduct timely payments. Plus, you can take this loan and clear off the credit card dues. This Eid-E-Milad, let’s wish for financial prosperity too!
*Terms and Conditions apply. Loans are disbursed at the discretion of Fullerton India.