Beginners Guide to Building a Good Credit Score

Your credit score (CIBIL score) is a three-digit number representing your creditworthiness. Here is how you can build and maintain an excellent score above 750:

• Pay on time, every time: Payment history accounts for 35% of your score. Set up auto-debit so you never miss a payment.
• Keep credit utilization low: Try not to use more than 30% of your total credit limit. If your limit is ₹1 Lakh, keep your monthly outstanding below ₹30,000.
• Don't close old accounts: The length of your credit history matters. Keep your oldest credit card active.
• Check your report regularly: Monitor your CIBIL report for errors or unauthorized transactions.