Finding ways to scale up your credit score quickly? The first thing most loan seekers will do to get their applications approved is check their credit scores. A credit score is a definitive rating that every lender and creditor will assess before giving away money.
Here are 6 ways to improve credit score fast, all by your own understanding.
Self Help #1
Keep a close watch on credit card balances
If you have a smaller the percentage of your revolving credit, higher are the chances of improving credit score. You must plan to do a credit check every month to keep the balances at a minimum and pay down the balances before deadline set by the card provider.
Most issuers use the statement against your balance to report it to CIBIL. Checking CIBIL score online for free would reveal an astonishing fact- Irrespective of paying your credit card balances on time every month; you still could end up earning a whopping credit utilization rate.
Tip: Negotiate with the card issuer on terms that will allow you to make multiple payments in the same month.
Self Help #2
Avoid using multiple cards
One of the smartest ways to improve score fast is to eliminate ‘nugget’ balance against your credit card spending. Even a meagre balance across every credit card will reflect negatively in the credit check report.
First, never exceed the credit limit in any of the cards. Secondly, don’t use multiple credit cards to make a single payment. When you Check CIBIL score online for free, you can see how credit utilisation rate inflates with each use.
Tip: Avoid adulterating your credit report with too many sparse balances against multiple cards. Utilise the full credit limit in a card, and only then move to the secondary card.
Self Help # 3
Don’t remove old debts off your report
Most advisors recommend that you should not mention the events of previous debts in the report. As a self help, one of the generous ways to improve credit score fast is to leave the old debt records intact. If you have a respectable debt repayment record, the old debt will serve well in credit check made by lenders while your loan application awaits approval.
Just because you paid old debt should not be the reason you remove it from CIBIL report. Check CIBIL score online for free and ensure your older debt records are intact and accurately mentioned.
Self Help # 4
Don’t risk your score before a loan application
One of the worst things to do while improving your score is to make a hasty payment out of frustration. If you are not in a position to make payments in full, talk to the agency to extend the time limit. Do a credit check just after missing the scheduled date of repayment. If your request was processed, you might actually save your score from falling in the coming months.
Be on time when it comes to making payments. Use the calendar with reminders set for your payment schedules.
Self Help # 5
Report inaccuracies on your CIBIL Credit report
If you do a regular credit check online, you can easily find the negative information in the CIBIL report. Check CIBIL report online for free to investigate the number of enquiries made against your account and the reporting of bad debts. If you have been a clean borrower, this would help you improve credit score\. Though this is not one of the ways to improve credit score fast, it still saves you from shelling out money in finding legitimate help to safeguard your interests few months down the line.
Gather proofs against the incorrect information against your account, and improve your CIBIL report. It can be raised with CIBIL’s dispute platform.
Whether you are an individual or a corporate organization, doing a self-assessment on credit score improvement will help you earn loans quickly and probably at a lower interest rate.