Credit Score Improvement Tips for personal loans and home loans
Credit Score Improvement Tips: The new year 2026 has begun, and if you are planning to take out a home loan, personal loan, or a new credit card this year, it’s crucial to focus on your credit score first. A good credit score not only helps in getting loan approval but also allows you to secure loans at lower interest rates.
Many people miss out on good financial opportunities due to not making timely improvements. Therefore, the beginning of the year is the perfect time to strengthen your credit score. Let’s look at three easy ways to improve your credit score.
1. Use your credit card wisely: When using a credit card, you should be mindful of your credit limit. If someone wants to improve their CIBIL score, they are advised to avoid using more than 30 percent of their credit limit. Using your credit card in this way increases the chances of improving your CIBIL score.
2. Pay your bills on time: If you want to improve your CIBIL score, pay your loan EMIs, bills, and credit card bills on time. Doing so demonstrates your financial responsibility. It’s also advisable to avoid making only minimum payments on your credit card and instead pay the full amount.
3. Check your credit report regularly: Sometimes, credit reports contain errors that we overlook, and these errors can negatively impact our credit score. Therefore, you should check your credit report at least once a year. If you find any incorrect balances, accounts shown as active when they are closed, or any other errors, you should get them corrected immediately.
