In Delhi’s extremely competitive financial landscape, sustaining a reputable credit profile and a credit score of over 750 is quite challenging. It is crucial for accessing favourable personal loan terms, premium credit cards along with other associated credit instruments.
A high credit score clearly signifies financial stability, consistency in repayments. It also enhances your credibility with lenders, this clearly explains the importance of a respectable credit score.
If your goal is to maintain a credit score of 750 or more in Delhi, then you must keep in mind several factors such as responsible credit management, timely repayments along with not applying for several credit lines in a short period of time.
To guide borrowers in ensuring that they are able to maintain a high credit score, Girish Kousgi, MD & CEO, PNB Housing Finance stated that, “Credit score is a representation of an individual’s creditworthiness, derived from factors like repayment behaviour, credit mix and utilisation, and the length of their credit history. Financial institutions – like banks, credit card issuers, and mortgage companies – evaluate the credit scores to make consistent, data-driven decisions instead of relying solely on subjective judgments.”
“A healthy credit score is the result of consistent financial discipline. Timely repayment of EMIs and credit card bills, and maintaining a balanced credit mix are crucial. Retaining old accounts also helps build a strong credit history over time. A high credit score of 750+ helps applicants unlock better financial opportunities and deals, provided they successfully meet other financial criteria required to qualify for the desired loan amount or interest rate, he added.”
Therefore, apart from keeping the above mentioned important points in mind, to maintain a high credit score individuals should assess their credit report once every six months.
This is crucial to identify errors and take corrective measures to improve them. This can be achieved by making informed borrowing decisions and managing credit responsibly. Cumulatively these simple ideas can help individuals build a higher credit score, and secure lower interest rates on future loan amounts.
Why does a 750+ credit score matter?
Credit scores in the country primarily range from 300 to 900 and are provided to individuals by leading credit bureaus such as CRIF High Mark, CIBIL, Experian among others. With scores of 750 or 750+ considered exceptional.
Such high scores boost the chances of easy loan approvals, offer lower interest rates and provide access to higher credit limits. Even according to leading banks and financial institutions, a credit score of 750 reflects a strong financial credibility and repute. Thus paving the way for easier loan approvals.
Fundamental steps to maintain a 750+ credit score
- Timely payments: Do ensure that all loan EMIs and credit card bills along with other related credit payments are paid on or before the due date. Late payments must be avoided at every cost.
- Limit credit utilisation: Do ensure that you keep your credit utilisation ratio below 30% of your overall limit. As a high utilisation signifies credit dependency and this can lower your credit score.
- Regularly check and monitor credit reports: Do check your reports on a periodic basis for errors and discrepancies. Further, promptly report any inaccuracies to the credit bureau for resolutions.
- Avoid multiple credit applications: Refrain from several loan applications or credit cards simultaneously as each application results in a hard inquiry on your credit profile. This can reduce your credit score.
- Maintain a healthy credit mix: A balanced mix or secured loans, like home loans and unsecured loans such as personal loans shows responsible credit behaviour. That is why, do try to keep a fair mix.
Hence, following the above words of caution and the steps diligently, aspirational borrowers and all future credit card applicants can secure a reputable score of 750 or above in Delhi.
Such a score depicts responsible credit management and can go a long way to help borrowers in securing personal loans and premium credit cards in seamless fashion, in the future.
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