Knowing your CIBIL score is essential for managing your financial health. This score represents your creditworthiness. It affects your ability to secure loans and credit cards. One of the easiest ways to check your CIBIL score is using your PAN card. Here are some simple steps to check your credit score from TransUnion CIBIL with the help of your PAN card:

Visit the CIBIL Website

The first step to check your CIBIL score with a PAN card is to visit the official website www.cibil.com. Make sure to access the authorised website to avoid phishing scams. Look for the option that allows you to get your free CIBIL score. This step is crucial to start your journey in understanding your credit health.

Register and Fill the Form

If you are new to the CIBIL website, you will need to create an account. Registration is simple and ensures you have a secure profile for future checks. If you already have an account, you can skip this step and start filling out the form directly.

You will be redirected to a new page to fill the form. Here, you need to provide your basic details. These details include your name, date of birth, and email ID. Make sure to enter accurate information to avoid any issues later.

Select ID Type

Once you have filled in your basic details, you need to choose your ID type. In the drop-down list under 'ID Type', select 'Income tax ID Number (PAN)' from the list of various identity proofs like Aadhaar card, etc. Your PAN is a unique identifier for your transactions. It helps the credit bureau provide your credit-related information easily. Enter your PAN accurately to ensure that you can access the correct information.

Submit the Application

After filling in all the required information, it’s time to submit your application. Cross-check all the details you have entered to ensure they are correct. This is crucial because any mistake can lead to incorrect information or delays. Once you are sure that all the details are accurate, read the undertaking mentioned at the end of the form.

After reading the undertaking, click on the 'Accept and Continue' button. This action will submit your application for accessing your CIBIL score. Following this, CIBIL will provide the required information about your score and report.

Understanding Your CIBIL Score

Once you have submitted your application, you will get your CIBIL score and report. The CIBIL score ranges from 300 to 900. A score closer to 900 is considered good and increases your chances of loan approval. Understanding your score can help you make informed decisions.

Why Your CIBIL Score Matters

Your CIBIL score is a reflection of your credit history and financial behaviour. It is used by lenders to evaluate your creditworthiness. A higher score indicates that you have been responsible with your credit repayments in the past. Similarly, a lower score might suggest financial difficulties. Here’s why it matters:

●       Loan Approvals: A high CIBIL score improves your chances of getting a loan approval. Lenders prefer applicants with higher scores because they are seen as low-risk.

●       Interest Rates: With a high CIBIL score, you are more likely to get loans at lower interest rates. This can save you a significant amount of money over time.

●       Credit Card Approvals: Credit card issuers check your score before approving your application. A good score can get you better credit cards with higher limits and better rewards.

●       Negotiation Power: A high CIBIL score gives you better negotiation power with lenders. You can negotiate for better terms and conditions on your loans.

Tips to Maintain a Good CIBIL Score

Maintaining a good CIBIL score is crucial for your financial health. Here are some tips to help you keep your score high:

●       Timely Payments: Always pay your credit card bills and loan EMIs on time. Late payments can negatively impact your score.

●       Credit Utilisation Ratio: Keep your credit utilisation ratio below 30%. This means if you have a credit limit of ₹1 Lakh, try to keep your spending below ₹30,000.

●       Monitor Your Credit Report: Check your report to ensure all the data is accurate. Report any discrepancies immediately.

●       Limit Credit Applications: Avoid applying for multiple loans or credit cards simultaneously. Each application can lead to a hard inquiry, which can lower your score.

●       Diversify Credit Types: Having a mix of credit types can positively impact your score. Aim for a healthy mix of secured and unsecured types of credit.

Checking your CIBIL score with the help of your PAN card is quite simple. It helps you gain valuable insights into your financial health. By following the steps mentioned above, you can easily access your CIBIL score and report. Understanding and maintaining a good CIBIL score is crucial for securing loans. It also helps you get better interest rates, and manage your finances effectively. Remember to regularly monitor your credit score. Adopt good financial habits to ensure a healthy credit profile. To get started, check your CIBIL score on Bajaj Markets for free.