4 ways for doctors to increase their CIBIL score
  • SUBSCRIBE
  • WHAT TOPICS ARE YOU INTERESTED IN?

    Step 1 of 3

    NEXT Skip

    HOW OFTEN WOULD YOU LIKE UPDATES ?

    Step 2 of 3

    EMAIL ID

    Step 3 of 3

Get The Latest Updates

SUBSCRIBE

4 ways for doctors to increase their CIBIL score

  • Highlights

  • Clear outstanding dues

  • Use loans only when you need to

  • Lower your credit card usage

  • Avoid applying for several loans

A CIBIL score, given by the Credit Information Bureau India Ltd., is one that indicates your financial history and borrowing behaviour. It is a 3-digit number that can range from 300 to 900 and signifies how creditworthy you are. It is important because every financial institution considers your credit score before it decides to lend you money. So, to a large extent, your CIBIL score dictates whether your application for a loan will be approved or rejected, or whether you will receive a high or low loan amount. As a result, it is important that you work on increasing your credit score. Here are 4 measures that will help you do this.

1. Clear outstanding dues

Outstanding debt can weigh down your credit report, so ensure that you pay your outstanding dues at the earliest. If you have too many debts, you may find that the interest rate is too high for you to manage and as a result, you may miss payments and incur penal interest as well. To ensure that your debt easy to manage, and to repay it swiftly, you can consider taking a debt consolidation loan. This will allow you make one payment instead of many, and clear your debt in a short span of time. In effect, your credit score will get a boost.

2. Use loans wisely

While it is okay to use loans, ensure that you don’t rely too heavily on borrowed funds in both your personal and professional life. When you take too many loans, it shows that your debt to income ratio is high, which means that you aren’t able to live within your means. This shows up as a negative mark on your credit report and brings your CIBIL score down.


3. Limit the number of credit cards

Having too many credit cards shows increased dependency on credit, which again lowers your score. Restrict credit card usage to only one or two cards and pay off credit card balances in full. This will boost your credit score significantly. Also, don’t let credit cards lie idle. Instead, identify the ones you don’t use and have them cancelled.

Doctor Loans - Everything You Wanted To Know

Eligibility for a Personal Loan for Doctors

4. Don’t make too many loan applications

Every time you make a loan application, it shows up on your credit score. So, don’t apply for a series of loans to see which one you will get approval for. Instead, study loans online, compare them, and only apply for one or at best, two loans. Check the eligibility criteria to only apply for loans that you are sure that you will qualify for. This will also help you boost your credit score.

Additional Read : How To Be Eligible For A Loan For Doctors

Armed with these measures, you will be able to significantly boost your credit score and notice a marked improvement in just 6 months to a year.

Instant Approval Form

Please enter your first and last name
Please enter 10 digit mobile number

How would you rate this article

 Please let us know why?

What did you dislike?

What did you dislike?

What did you like?

What did you like?

What did you like?

Next up

PRODUCT GUIDANCE

8 questions to ask while taking a Doctor Loan