724 CIBIL Score - Is it good or bad?
A 724 CIBIL Score is considered good and reflects a stable credit history with a responsible track record of debt management. This score places you in a favourable light with potential lenders, as it signals reliability and a relatively low risk of default. While it is not the highest score range, it positions you advantageously for obtaining various forms of credit.
How to improve your 724 CIBIL Score?
To elevate a 724 CIBIL score, focus on maintaining or reducing your current level of debt, especially on credit cards, as high credit utilisation can impact scores negatively. Make all your payments on time, every time, and consider diversifying your credit portfolio by responsibly managing a mix of credit types. Regularly review your credit report for any discrepancies and promptly address any errors to ensure your score accurately reflects your credit behaviour.
How does a 724 CIBIL Score impact interest rates?
A 724 CIBIL score generally results in favourable interest rates, as it demonstrates good creditworthiness to lenders. While it may not secure the lowest rates available, which are typically reserved for those with scores in the upper 700s, it does ensure that you receive competitive rates that reflect your low-risk profile, helping reduce the cost of borrowing.
