A Comprehensive Guide on How to check your Credit Score

Posted by  Fintra , updated 2023-02-24

A Comprehensive Guide on How to check your Credit Score

While digitisation has made it easier to get loans, you still have to qualify for these instruments. This is why it is important to do a credit score check as lenders do not approve all applications. They assess your profile and this is where your credit score comes into play.

Lenders only sanction loans and extend favourable offers to you if you have an excellent credit profile. Most have a minimum criterion, which is generally that you must have a credit score of at least 750 to qualify.

Applying without meeting this requirement may cause delays, or even rejection. To avoid such hassles, here’s a comprehensive guide on ways to do a credit score check. 

Ways To Check Your Credit Score

Through the official credit bureau websites

Your credit score is assigned by a credit bureau, and there are a few notable entities to note. These are TransUnion CIBIL, Equifax, CRIF Highmark, and Experian. Each of these bureaus assign a unique credit score, often referred to by a specific name. For instance, TransUnion CIBIL will assign your CIBIL score.

Your CIBIL score is a commonly used credit score, and lenders will often have it as a requirement for loans or other forms of credit. Thankfully, conducting a credit score check has become easier. Most bureau websiteshave a fairly intuitive digital provision.

Here are a few simple step-by-step guides you can follow.

Like these, there may be other credit bureau websites with a similar process to follow. In most cases, you will require your PAN information on hand as it contains key data. Besides this, you may receive an OTP on the registered mobile number, so ensure to have the device nearby.

Checking your credit score on the official bureau websites is one way to go about this process. It is safe but there may be certain credit bureaus that don’t offer the service for free. For instance, you may check your credit score on TransUnion CIBIL for free only once a year.

Through trusted third-party service providers

The other reliable option to do a credit score check is to use services provided by trusted lenders and fintech entities. These provisions are reliable and often give you access to your score for free. Some popular options include Bajaj MARKETS, Wishfin, CreditMantri, and others.

These services are based on partnerships with the credit bureaus. A good way to know if you can trust the service provider is to look for a recognised trademark such as the ‘Powered by CIBIL part of TransUnion’ trademark.


                          Credit Score

Benefits of doing a regular credit score check

Informs you about your credit eligibility

The most important reason is to know if you qualify for a credit instrument before you apply for it. Lenders have strict requirements, and if your score is too low, you may not get the best deal. In some cases, your application may get rejected altogether. In general, it is a good habit to check your credit score before availing any sort of credit.  

Provides warnings of potential fraud

Dips in your score point to potential issues, and sometimes it can be a sign of fraud. An unwarranted dip in your score demands that you check your report immediately for the cause. Routine checks can help you catch such issues early and minimise damage.

Checking your credit score regularly is healthy, and you should do it once every few months. In fact, it is a key part of learning how to improve your CIBIL score. It is the most reliable way to track progress and keep tabs on your financial well-being.