CIBIL or Credit Information Bureau of India Ltd is one of India’s oldest credit data offering institutions. CIBIL score is the central part of your credit value. It is a three-digit number in the range of 300 – 900. But, more, the value is the credit value of the individual. In simple terms, it is a value that shows how much an individual is confident enough to pay back the loan amount to their lender. 

While calculating the CIBIL score, many factors are considered, like repayment patterns, credit history length, level of debt, part of the available credit that is used, among others, and the number of accounts the individual has open. Therefore, the CIBIL score of any individual defines the amount of credit a person obtains and the rate at which she receives it. It also defines the lender’s decision about the tenure they will be provided with the loan. In general, when a person’s CIBIL score is more than 700, it is considered good, leading to easy obtaining of a loan.

CIBIL score in HDFC bank

The CIBIL score is generally in the range of 300 – 900, and when the score is more than 700, it is considered suitable for loans getting quick approval. Yes, for some loans, the cut-off mark is slightly higher. The credit score is more likely to get your loan approved as it specifies a responsible repayment pattern.

It is essential to check the latest CIBIL score. Know why?

You will remain updated: By checking the credit score, you will remain aware of the credit status, payment history, and credit dues. This is vital if you have plans for applying for any new line of credit in the coming days.

  • Easy for recognizing errors: When you keep track of your credit score, it is easy to pinpoint errors in all information given, which can cause harm to your credit score. One can quickly raise disagreement with the bureau rapidly and get all eros corrected with time so that a credit score does not take a toll.
  • Recognize all fraud activity: Checking your credit score regularly assists you in keeping track of all inquiries and requests for any new line of credit made on your behalf that you have not made. These should be brought to the instant attention of the respective authorities; otherwise, they can hurt your credit score.
  • Assist in keeping track of credit use ratio: To maintain a high CIBIL score, your credit utilization ratio should not be more than 30%. Otherwise, it hurts your CIBIL score. So, when you check your credit score regularly, it helps keep track of your credit utilization ratio.

How to obtain the HDFC CIBIL score?

Here are the details required for obtaining a CIBIL score:

  • Visit CIBIL website
  • A form will be given where all details like the name. Contact details and email you need to provide.
  • Then next is providing proof of identification and other details for the same. Finally, give your PAN card details and then migrate to the next step.
  • Then in the following step, questions about your credit card history and other such dues will be asked, depending on which CIBIL score is generated along with the whole credit report.

In the whole process, you are recommended several paid subscription packages in the whole scenario where more than one credit report is required in a year. Here you can select no and continue with the whole process of getting your CIBIL report of the year. It is often recommended to check your CIBIL score several times in a year because the score fluctuates with each new credit line obtained or payment made.

You can check your credit report as well as a credit score for free once every year, and this has been made compulsory by the Central Bank of India – RBI for all four credit information companies in India. HDFC Bank is an authorized partner of CIBIL, for which one can quickly receive a free credit report each year on HDFC.

What CIBIL score does HDFC bank need for its various loan approval?

  • Personal loan: A CIBIL score between 700 – and 750 is considered suitable for a personal loan, with the minimum score required being 700.
  • Home Loan: A CIBIL score between 720 – and 750 is required for getting a home loan approval from HDFC.
  • Car loan: A minimum score of 700 is required for getting a car loan approval from HDFC.

Tips to enhance your credit rating and HDFC CIBIL score

If you want to get quick approval of a loan from HDFC bank, it is essential to maintain a good CIBIL score. Here are a few tips through which you can maintain a good CIBIL score:

  • Use credit cards regularly: Use your credit cards and pay off all your outstanding balance before the due date. This proves that you are responsible and capable of handling your short-term credit.
  • Stay within your credit limit: Overutilizing your credit limit indicates that your income is not adequate for all of your expenses, and you have no control over overspending.
  • Apply for new credit in control: Take in only how much you need. Then, consider various offers and rates from various institutions before you decide.

By doing simple tasks such as planning your payments on time, possessing securities when you cannot pay, maintaining good relations with the banks, and remaining away from the loan – defaulters can take you a long way in getting financial freedom.

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