Your credit score is more than just a number — it’s your financial reputation.
If you're repaying a loan (or planning to), knowing what not to do is just as important as knowing what to do.
At Vizzve, we’ve seen thousands of loan journeys. Here are the top 3 deadly mistakes that silently destroy your credit score.
❌ Mistake #1: Missing or Delaying EMI Payments
This is the #1 reason why credit scores drop.
Even a single late EMI can reflect negatively on your credit report and stay there for years.
🔻 Consequences:
Credit score drops by 30–100 points
Higher interest rates in future loans
Rejection of credit card or loan applications
✅ Vizzve Tip: Set up auto-debit for your EMIs and keep at least one EMI balance ready in your account.
❌ Mistake #2: Not Informing Lenders During Financial Trouble
Life happens — job loss, medical emergencies, etc. But not informing your lender can worsen the damage.
🔻 What people do:
Ignore collection calls
Miss multiple EMIs
Stop checking loan status
✅ What you should do:
Contact Vizzve or your lender immediately
Request a temporary pause, restructuring, or part-payment option
✅ Vizzve understands your situation and can help replan your loan rather than letting it ruin your credit.
❌ Mistake #3: Over-Borrowing Without Planning
Taking multiple loans or credit cards without managing repayment = disaster.
It shows poor financial planning and increases your credit utilization ratio, affecting your score.
🧠 Real Example:
You take a personal loan, then a Buy Now Pay Later (BNPL), and a credit card — now your EMI-to-income ratio crosses 40%.
That’s risky.
✅ Vizzve Tip: Never borrow more than you can repay comfortably in 3–5 years. Focus on clearing one loan before taking another.
Quick Recap Table
| Mistake | Why It Hurts |
|---|---|
| Late EMI | Lowers trust & score |
| No Communication | Shows irresponsibility |
| Over-borrowing | Signals financial stress |
💡 How Vizzve Helps You Avoid These Mistakes
✅ EMI reminders via app + SMS
✅ Flexible repayment rescheduling
✅ Real-time credit insights
✅ Smart dashboard to manage all loans in one place
❓FAQs
Q1: How long does a missed EMI affect my credit score?
It can stay on your credit report for up to 7 years.
Q2: Can Vizzve help restructure my loan?
Yes, based on your repayment history and reason, we offer flexible support options.
Q3: Is early repayment better than missing EMIs?
Absolutely. Prepaying is a score booster. Missing payments destroys trust.
Final Words: Be Smart, Be On Time
Every loan is an opportunity to build your credit reputation.
Don’t let small mistakes cost you big in the future.
💬 “Your credit score is your passport to future finance — protect it with Vizzve.”
Published on : 28th July
Published by : SMITA
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RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed