What is a Credit Score?
A credit score is a numeric representation of your credit summary. It is used by the lenders to know your creditworthiness. When you apply for a loan, the first thing the lender will do is check your CIBIL Transunion score, before processing your application. CIBIL stands for Credit Information Bureau India Limited. CIBIL Transunion score is a three digit number which ranges between 300 and 900. Closer the CIBIL score to 900, better it is. A credit score of over 750 is considered good score but lenders may have higher limits. So, only if you meet the minimum credit score threshold limit set by the lender, your application will be processed further. Having a good credit score helps in getting a loan approval faster and sometimes at cheaper interest rates.
Read More: Benefits of a Good CIBIL Score
However, a good credit score doesn’t imply that your loan application will be accepted automatically. The lender will also consider your repayment capabilities before disbursing loan to you.
How can you get your credit report?
If you are planning to avail a loan, it is advisable that you check your credit score for mistakes. The credit bureau doesn’t collect the information on its own, they compile the information provided to them by various lenders, therefore there is a possibility that during the compilation process some errors might occur. Errors in your credit report can delay the loan approval process or at times rejection of loan. So, it’s better that you check your credit score before going for loan, to avoid any unnecessary delay.
You can buy your credit report along with the credit score from CIBIL. There are 2 ways in which you can get your credit report from Credit Information bureau of India Limited (CIBIL)
The fastest way of getting your CIBIL credit report is through online. You need to pay fees of Rs 500 to get your credit report online. Following is the process to get your CIBIL report online.
- Fill the Online Credit Score Request form giving your personal details such as name, date of birth, address, Identity proof, address proof.
- After you submit the form, it takes you on the payment gateway. You can pay Rs 500 through your credit card, debit card or net banking.
- After this you will be given the authentication test. After passing the authentication test by answering 3-5 questions related to your loans and credit cards, you can instantly access your credit report and credit score. Ensure that the pop-up blocker is disabled. One copy of your credit report will also be mailed on your registered email ID.
- If you don’t pass the authentication, you will have to upload your KYC documents along with the online payment confirmation form. Post you pass the authentication test, a hard copy of your CIBIL report will also be mailed to you in 7 business days via express delivery, speed post, courier.
- You can download the application form from the website and mail it to the following address:-
CIBIL Address: Credit Information Bureau (India) Ltd, Hoechst House, 6th Floor, 193, Backbay Reclamation, Nariman Point, Mumbai 400 021)
- You will need to attach self-attested KYC documents.
Any one Address proof: Bank statement, Electricity bill, Telephone bill,
Any one Identity Proof: PAN card, Aadhar ID, Voters ID
Or you can just send any one document of the three – your passport, driver’s license or Aadhar card for the KYC.
- You will have to make the payment through a demand draft of Rs 500 which you wil have to send with your application.
Post verifying the documents, your CIR will be mailed to you by CIBIL within 7 business days after receiving and verifying your KYC documents. You can check the status of the application online.