The credit score is one of the most critical factors that a financial institution considers when determining a prospective borrower’s eligibility. Every lender assesses a borrower’s credibility based on his/her credit score.
An individual or business’s score is decided based on a number of parameters. They include repayment history, credit utilisation, credit mix, length of credit history, etc. The organisations that assess these parameters and publish the score of each entity are called credit bureaus. CIBIL is one such organisation.
TransUnion CIBIL publishes a credit report, which features the score of a person. One can check his/her business’s CIBIL report by visiting their official website. It provides two options – free and subscription – for checking the credit score. Any business can check their credit score for free once a year. Paid subscribers can access additional features depending on the plan.
For free CIBIL score check online you can follow the steps mentioned below –
Step 1: Visit CIBIL’s Website
Firstly, search for “Check CIBIL score online” and visit its official website. There, click on the “Get Yours Now” option featured.
Step 2: Create Account
If not already a member, one needs to create an account with TransUnion CIBIL. It will require you to provide your email ID, name, address, birth date, any ID proof, like PAN, and mobile number. The email address will act as a username, which can be used to login on future visits.
Also, one should enter these personal details as per their ID proofs.
Step 3: Verify Credentials
Following that, you will receive an OTP on the provided email ID and mobile number. Enter the OTP in the designated field and click on “Continue”.
This is the elementary verification process. One might need to provide additional details and should keep different credit account details handy.
Step 4: View CIBIL score
Once verification is done, you will be redirected to another window. There, you can find the option “Go to Dashboard”. Click on that to view the CIBIL report and score.
These are the steps to follow to check CIBIL score for free. Individuals can choose to subscribe to one of the plans in order to gain unlimited access.
Possessing a high CIBIL score is advantageous in the following ways –
Businesses with a robust credit score can access loan facilities with more ease. As mentioned earlier, financial institutions determine whether an applicant is eligible for a loan based on their score. However, institutions also take other factors such as business revenue, annual turnover, etc. into account.
Businesses can leverage their debtor’s high creditworthiness as well if planning to access invoice discounting service. With KredX, you can submit your business’s unsettled bills issued to debtors at our portal to avail cash advance within 24 – 72 hours*.
Lenders determine the cost of a loan, i.e. interest rate, based on an applicant’s credit score. Entities with a healthy credit score can access loans and other advances at low costs since they are less likely to default on repayment. They are also deemed low-risk for the financial institution. Conversely, a low credit score implies significant risk, which, in turn, leads to higher interest rates.
Financial institutions are more likely to extend premium credit cards to entities with a healthy score. That’s because they are perceived as more creditworthy, carrying lower chances of a payment default.
These are only a few reasons why possessing a high credit score is essential for individuals as well as businesses. Organisations, particularly, can access a host of loan options if their CIBIL score is healthy. It also allows organisations to strike better deals with their lenders.
KredX, India’s leading integrated cash flow solutions provider, offers invoice discounting services against simple eligibility criteria. Businesses can thus easily optimise their working capital needs with us.
s to meet your business financial needs? Click here to know how to check your CIBIL score online and ensure your eligibility for hassle-free credit.
Banner Text – Check CIBIL Score And Gauge Your Eligibility To Avail Business Credits
The credit score is one of the most critical factors that a financial institution considers when determining a prospective borrower’s eligibility. Every lender assesses a borrower’s credibility based on his/her credit score.
An individual or business’s score is decided based on a number of parameters. They include repayment history, credit utilisation, credit mix, length of credit history, etc. The organisations that assess these parameters and publish the score of each entity are called credit bureaus. CIBIL is one such organisation.
The different factors that impact CIBIL score calculation are –
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