Outlook Money – 01.03.2018

you can request for a free credit

report.” Providing credit score free

of charge makes sense for these

portals as well. They can get more

business by suggesting products to

their customers on the basis of their

credit score.

Regular tracking of credit score

is, thus, critical for widening your

choices of lenders and accessing

cheaper loan rates.

[email protected]

PaRijaT GaRG

Vice President, CRIF Highmark

“Credit scores are calculated differently

based on proprietary algorithms. The score

for the same person from different bureaus

could be different”

BEnEfiTS of SCoRing

good maRkS

A good credit score indicates

to potential lenders how an

individual manages their loans and

credit card dues

This is your first step in

increasing creditworthiness, if

credit score is low

Helps you to identify and

rectify anomalies

Protection against identity

theft

Helps you to get personalised

and pre-approved offers on loans

and credit cards

How To TRaCk

YouR SCoRE

At Credit BureAus

You can get your credit score

and report free once a year

Subsequent charges are as

follows:

CIBIL: `550 per report, ` 800

for two and `1,200 for four

Experian: `399 per report

Equifax: `138 for a basic

credit report without score and

`400 for credit report and score

CRIF Highmark: `399 per

report

At FinteCh PortAls

You can get your credit score

and report for free at...

BankBazaar.com (Experian)

Paisabazaar.com (Experian)

Wishfin.com (CIBIL)

Rubique.com (CIBIL)

Creditseva.com (CIBIL)

A credit score, of course,
becomes important when you
require a loan. “If you’re going to
apply for a loan, it is prudent to
check 9-12 months before you do.
This will give you ample time to
review your credit history, identify
inconsistencies or opportunities
for improvement and take remedial
action,” says Hrushikesh Mehta, vice
president and head, DTC Interactive,
TransUnion CIBIL.

How your credit score changes
In a nutshell, your credit score
changes every time a lender supplies
new data to your profile. “If you’ve
recently been sanctioned a new
credit, missed a payment, foreclosed
a loan account or applied for loans,
you may see a change in your credit
score,” says Mehta. Lenders submit
data to credit bureaus typically at
monthly intervals. Every time
there is new data, your credit score
can change.
If the borrowers are paying all
their outstanding EMIs on loans
regularly, their scores will start
improving over a period of time.
Overleveraging could affect the
credit score adversely. Factors that
can impact credit score are the
borrower’s total debt, total number
and type of accounts opened
(secured or unsecured), number of
late payments/derogatory marks and
total credit enquiries showing up
on the report and age of accounts,
according to Kasture.

Get your credit score for free
It is now easy to check your credit
score for free through various online
fintech lending portals that have
tie-ups with credit bureaus. All you
need to do is, enter personal details
like PAN card, e-mail ID and mobile
number to access credit information
within a few minutes. “We work
with Experian to provide free
monthly updates without requiring
a fresh application. Using your
credit score, we offer pre-approved

loan and credit card based on your

needs and profile,” says Radhika

Binani, chief products officer,

Paisabazaar.com.

BankBazaar.com, on the other

hand, has an agreement with

Experian to provide credit reports to

their customers. According to Adhil

Shetty, CEO, BankBazaar.com, “We

facilitate the process for a fast and

seamless online experience. There

is no cap on the number of times

http://www.outlookmoney.com March 2018 Outlook Money 67