A credit score shows how trustworthy someone is when it comes to borrowing money. Standard credit scores range from 300 to 900. A high credit score can help you qualify for bigger loans at better interest rates.
Factors that influence your credit score include your credit history, like loan or credit card bill repayment, and efficiency in managing an EMI card.
It is essential to know how to build your credit score as they can have a significant impact on your financial credibility. Here is why you should keep your credit score on the higher side:
Higher chances of loan approval: Your credit score is the first criterion lenders use to assess your creditworthiness. If your score is 750 or higher, you are a reliable borrower who is likely to repay loans on time. This increases your chances of being approved for a loan.
- Lower interest rates: Another benefit of having a good credit score is lower interest rates on home loans, personal loans, etc.
- Higher loan or credit limits: A good credit score can also qualify you for a higher loan or credit limit in the future.
How to Use Bajaj Insta EMI Card to Improve Your Credit Score
The Insta EMI Card is an excellent financial tool to improve your credit score. As the eligibility criteria for the card is lenient and the pre-approved limit is moderate, you could easily own this card. It can be a great starter card for someone who is looking to build a credit score by managing it effectively.
- Use the card to shop for smartphones, home appliances, furniture, flight tickets, and many such products on No Cost EMIs.
- Spread the EMIs over up to 60 months, making the purchase easy on your pocket.
- Repay the interest-free EMIs on or before the due date.
- By paying off your Insta EMI Card dues on time, you can build a good credit history and even increase your limit.
- Use the card frequently for paying for products or booking hotels etc, which could increase your credit score.
In essence, by using the Insta EMI Card intelligently and responsibly, you can improve your credit score and creditworthiness. Remember to make EMI payments on time, keep credit utilisation low, monitor your credit report, and not take unnecessary debts. With the Bajaj Finserv Insta EMI Card, you get a pre-approved limit of 3 lakh and access to over 1 million products from more than 1.5 lakh partner stores across over 4,000+ cities.