Credit Health Improvement Plans

Good credit plays an important role in one’s financial life. Maintaining good credit health do not only gives access to credit like loans and credit cards but also helps in getting jobs in banks and Corporates.

Whenever we borrow any loan or Credit card from any financial institition like banks or NBFC’s , lender sends our borrowed details to Credit Bureaus, inorder to track our repayment history. It keeps the record of our personel details, type of credit we have borrowed & how long will it take to repay those borrowed money. It is known as financial Credit History.

Credit Bureaus play an important role for banks & NBFC’s in decision making for lender interms of customer requirement and his credibility since it has all your previous credit track records of banks and other financial institutions.

Everytime we apply for Credit card or loan from bank or any financial institution, first and foremost thing any lender checks is Creditbility and Creditworthiness of the borrower. To find it out banks sends your personel details to Credit Bureaus [CIBIL , Equifax, Experian and Criff Highmark ] to find out credit track records and credit behaviour one had in the past with previous financial institutions. It will check if u have good credit history in the past.

When an individual fails to fully understand the banks system and applies for loan or Credit card it has a very bad impact on credit history. It not damages your credit score by some negetive points on every rejected applications but also shows lender your credit hunger.Therefore it becomes paramount important for us to maintain good credit health.