Maintaining a clean credit profile and a good credit score is essential for securing personal loans, credit cards and other similar credit instruments. Due to the recent Reserve Bank of India regulations, Indian credit card users can now cross-check their credit scores for free through the official websites of authorised credit bureaus.
Credit Score: Basic concept, meaning and essence
A credit score is a three-digit number that primarily represents your creditworthiness, repayment integrity, and past credit history. It typically ranges from 300 to 900 in India. Further, a score of or above 750 is normally considered excellent and propels chances of loan approvals with easier and better interest rates, along with opportunities to obtain premium credit cards.
You are required to regularly follow up on your credit report and ensure that you are consistently repaying loans or credit card spending on time. This way, you can definitely detect inaccuracies in your credit report and hence improve your financial health, planning, and overall management.
Here is a step-by-step guide to help you download your credit score report without incurring any expenses.
How to download your credit report
- Go to the website of a recognised credit bureau: First, you need to visit the official website of a recognised credit bureau. CIBIL, Equifax, CRIF High Mark, and Experian are some of the leading credit bureaus in the country. For example, you can check your score on the CRIF High Mark website.
- Register on the website for a new account: You need to sign up on the official website before you can check your credit score. For the same, provide personal details such as your name, residential address, mobile details, email address, and PAN or Aadhaar Card for the identity verification process.
- Submit additional details: To proceed with authentication, provide details such as date of birth, address, employment details, past job history, and resignation details (if asked).
- Carefully check details and verify identity: You need to upload support documents and answer security questions for the final verification. Once the same is validated, you will get access to your individual credit report.
- Click on the download option: Once all verification is complete and you are able to access your credit report, you will be able to download a soft copy of it. Under RBI guidelines, every individual is entitled to one free credit report per year. So, it is your responsibility to be aware of your rights and obligations.
What are the benefits of regular credit score checks?
- Facilitates in identifying and correcting errors in your credit history.
- Provides directions and insights into factors impacting your credit score.
- Supports in helping financial repayment habits by acting as an alarm.
- Boosts chances of easier loan processing and credit card approvals due to a strong credit profile.
- It helps in keeping your credit utilisation ratio in check and in proper control.
RBI steps to improve customer experience with credit scores
The RBI has recently mandated bi-monthly credit score updates to foster transparency in the process of borrowing and empower borrowers. This initiative helps ensure the real-time availability of credit-related information, thus helping both borrowers and lenders make data-based decisions, boosting the overall credit health of the system.
Finally, regularly reviewing your credit profile and checking your credit score can positively impact your financial health in the long run. Furthermore, downloading your credit report also helps with physical record keeping. By staying informed about your credit history and repayment patterns, you can make better borrowing and investment decisions.
Disclaimer: Mint has a tie-up with fintechs for providing credit; you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards and credit scores. Mint does not promote or encourage taking credit as it comes with a set of risks such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.
