CIBIL: Not checking your credit score regularly? You might want to for these 5 key benefits
It is believed that one should monitor their credit score regularly. It is recommended to check the CIBIL score at least once a year for a number of reasons.
For instance, what if the CIBIL score does not reflect your real creditworthiness because of some inadvertent mistakes in it.
Or if you have a plan to raise a huge loan next year, being aware of your credit score will put you in a strong position to negotiate a better deal with your lender.
Early detection of errors: Checking your credit score enables you to quickly identify any errors or inaccuracies in your credit report. These errors could include incorrect personal information, fraudulent accounts, or inaccurately reported payment history.
Addressing these errors promptly can prevent them from negatively impacting your creditworthiness.
Identity theft protection: Monitoring your credit score can help you detect signs of illegal activity that could show identity theft. If you happen to notice unfamiliar accounts or suspicious inquiries on your CIBIL report, you can take prompt action to resolve potential identity theft issues.
Maintaining financial health: Your credit score shows your financial health and creditworthiness. Regularly checking your credit score prepares you to track changes over time and identify areas for improvement. By knowing factors that affect your credit score, such as payment history, and credit inquiries, you can take informed decisions to maintain or improve your financial standing.
Negotiating better terms: If you're planning to apply for a loan or negotiate terms with lenders, having knowledge of your credit score keeps you in a stronger position. A good credit score may prepare you to qualify for lower rates of interest, higher
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