Guide To Read And Understand Your CIBIL Report

Your CIBIL score is one crucial aspect of your personal life as well as business. The business CIBIL report is very much different from that of a personal one, although they are very much the same in purpose. Not many can contemplate about their credit score. The CIBIL score is deeply affected by the credit information report. As a business owner, it is your responsibility to stay familiar with the overall process to get the best benefits.

What is a credit score?

Before beginning with your CIBIL report, you should have a sound knowledge about the credit score. The credit score determines the history of borrowing for your business. The better the credit score, the better will be the chances to receive approval for the second loan. Not only that, a better credit score can prove to be extremely beneficial for several other reasons too.


Account Information

The account information contains all necessary details regarding your credit facilities such as the type of credit, lender, account number, joint or single account and all other. These details will play an essential role in helping you get the loan quickly. Before you apply for the loan, you need to be familiar with the terms and conditions. Before applying for the loan, you should check for the following details


Account details

You should look at whether your personal information has been provided rightfully or not. All this information will be mentioned in your report for the loan. Therefore, you should make sure to check them whether they are correct or not.


Status of account

If your account has any legal cases or other problem, it will have a negative impact on your credit score. This will further be problematic to get the loan. You should make sure that the account is ‘settled’ and ‘written off.’ This will help you determine that you are free from all kinds of risks. If you have not paid within 180 days, it can prove to be problematic. All such issues will have a negative impact on credit eligibility.


Days past due for the loan and credit

The DPD helps the lender determine how late you have been in paying off your dues. All the things apart from 000 and STD are usually regarded as negative by the lender. XXX determines that no information was available for the account to the CIBIL. The number of late days is also mentioned in the DPD column. 000 shows the lender that you’ve have made the payment on time.


Inquiry Information

In this section, you will receive all the information regarding your loan application. The inquiry ensures that the credit institution has made out requests for preparing the details from CIBIL. The lenders are usually cautious in determining this even if you are taking the loan for a short period.


You should carefully check with the regulations and rules of the lender for benefits. Crossing the credit limited to ensure the loss in credit score. As a result, you should read your CIBIL report properly.



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