Many times it is seen that we have a shortage of money while buying a house or to buy something else. In such a situation, to overcome the shortage of money, you have the option of taking a home loan or a personal loan. However, before giving a loan, the bank or financial institution checks many things. In the process of giving a loan, your CIBIL score is also checked. If the CIBIL score of a person is poor, then in such a situation he may face problems in getting a loan. Apart from this, he may also be denied a loan. In such a situation, it is very important for your CIBIL score to be good to take a loan. At the same time, do you know how the CIBIL score is calculated? If you do not know about this, then today we are going to tell you about this. Let's know -
The CIBIL score starts from 300 and goes up to 900. In the CIBIL score, 300 is considered the worst, and 900 is considered the best. To know what your CIBIL score will be, companies look at your previous payment history.
Have you paid the previous loan on time or not? How much of your credit limit have you used? How many loans are running on you right now?
Apart from this, things like how many credit cards you have right now, etc. are checked. After calculating all these factors, your CIBIL score is determined.
If your CIBIL score is bad and you are facing problems in getting a loan, then to improve your CIBIL score, you should improve the factors mentioned above. By doing this, your CIBIL score can be good.
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