CIBIL/credit score is a three-digit number that ranges from 300 to 900. Every individual who has once availed credit (credit card or loan) will have a credit score.
A higher score denotes that the individual is creditworthy and has repaid all his obligations in time. However, a lower score does not necessarily mean that the individual has not paid his/her dues in time. A new borrower will have a low or even zero credit score.
In India, the credit rating provided by CIBIL is accepted by the majority of financial institutions. Hence, it is also known as CIBIL score.
Lenders use your CIBIL score to determine whether you are eligible for home loan. They perform a credit enquiry to check the same.
Lenders also check your credit report during such enquiries. Your credit report contains all the details that influence your CIBIL score.