The Simple Steps That Can Push Your CIBIL Score Above 750 Faster Than You Think

Key Takeaways 
 

• A Supreme Court case involving a businessman from Uttarakhand with a wrong CIBIL score has highlighted a serious issue. A low credit score can stop people from getting loans, even if they have not missed any payments.
   
• Credit bureaus like TransUnion CIBIL decide who gets loans in India. But mistakes and poor financial habits still keep many people stuck with low CIBIL scores.

A recent Supreme Court case has shocked many people. A businessman from Uttarakhand could not use banking services since 2020, even though he had no loans or defaults. His credit score became “negative” because of an error. This is not a rare case. Many similar cases are still pending in courts across India. It shows that your CIBIL score is not just a number. It affects your financial life.

A CIBIL score is a three-digit number between 300 and 900 given by TransUnion CIBIL. It is one of the four credit bureaus approved by the RBI in India. Banks use this score to decide if they should give you a loan or credit card. A score below 700 can lead to rejection. A score above 750 is usually considered good.

What a Low CIBIL Score Actually Costs You?

A low credit score creates problems for many people in India. It can lead to higher interest rates, smaller loan amounts, or even rejection. According to data from TransUnion CIBIL, people with scores above 750 get about 67% of all retail loans. This means if your score is below 750, your chances are lower.

The impact is not just about money. It can make it harder to rent a house, get certain jobs, or apply for a business licence. People with no credit history also face issues. They get an “NH” (No History) score, and lenders treat it carefully, similar to a low score.

Experts Explain What Actually Works to Fix Your Score

Adhil Shetty, CEO of BankBazaar, has stated publicly, “One of the biggest mistakes people make is closing old credit cards. Older accounts increase your average credit age, which positively impacts your score.” He also points out that credit utilisation should stay below 30% of your total limit.

Here is what experts consistently recommend:
 

Raj Khosla, Managing Director of MyMoneyMantra, has noted that “errors in credit reports are more common than people realise.” He advises checking your CIBIL report at least once a year for free on the official TransUnion CIBIL website and raising a dispute if anything looks wrong. The disputes are usually resolved within 30 days under RBI guidelines.

Conclusion

Your CIBIL score is not permanent. You can improve it if your score is low due to missed payments or a mistake. Start by checking your report, paying any pending dues, and using credit carefully.

A score above 750 is possible within six to twelve months for most people if you follow these habits regularly.

Frequently Asked Questions

1. How can I get a personal loan with a low CIBIL score?
It is difficult to get a loan with a low score but not impossible. You can try applying with a co-applicant, choosing a secured loan, or approaching NBFCs. Also, reduce existing debts and improve your score before applying again.

2. Why is my CIBIL score not improving even after doing everything right?
Your score may take time to update. Late payments in the past, high credit usage, or errors in your report can slow improvement. Check your report from TransUnion CIBIL and raise a dispute if needed.