Your CIBIL score is like a financial report card.
It tells lenders how trustworthy you are when it comes to repaying loans and credit cards. The higher the score, the easier it is to get loan approvals, lower interest rates, and better financial opportunities.
At Vizzve Finance, we believe in empowering customers by helping them understand how CIBIL scores really work.
How Is Your CIBIL Score Calculated?
Your CIBIL score (ranges from 300 to 900) is calculated using these key components:
| Factor | Weightage |
|---|---|
| 🕒 Payment History | 35% |
| 💳 Credit Utilization Ratio | 30% |
| 📜 Credit Mix & Types | 10% |
| 📅 Credit Age/History Length | 15% |
| 🔍 Credit Inquiries | 10% |
Let’s break it down 👇
1. Payment History – 35%
Do you pay your EMIs and credit card bills on time?
Missed or late payments lower your score significantly.
💡 Vizzve Tip: Even a single missed EMI can hurt. Set auto-pay reminders.
2. Credit Utilization Ratio – 30%
This means how much of your credit limit you use.
✅ Keep it under 30%.
Example: If your card limit is ₹1,00,000, spend no more than ₹30,000 monthly.
3. Credit Mix – 10%
Having both secured (like home/auto loans) and unsecured (like personal loans/credit cards) loans is a healthy sign.
📉 Too many unsecured loans = risky = lower score.
4. Length of Credit History – 15%
Older accounts boost your score.
🧠 Don’t close your oldest credit card – even if you rarely use it.
5. Credit Inquiries – 10%
Each time you apply for a loan, the lender does a hard inquiry. Too many in a short time = red flag.
💡 Use Vizzve’s soft check tools to assess your eligibility without hurting your score.
What’s a Good CIBIL Score?
| Score Range | Meaning |
|---|---|
| 750 – 900 | Excellent – Easily approved |
| 700 – 749 | Good – Usually approved |
| 650 – 699 | Fair – May need better terms |
| Below 650 | Poor – Risk of rejection |
How Vizzve Helps You Improve CIBIL Score
✅ Loans for Low-CIBIL Applicants
💸 Micro-loans to build repayment history
🔁 Credit monitoring & improvement tools
🧾 EMI reminders & payment tracking
📉 Pre-approved offers without hard inquiries
FAQs
Q1. Does checking my own CIBIL score reduce it?
No. That’s a soft inquiry and doesn’t affect your score.
Q2. How often is CIBIL updated?
Monthly, based on reports from banks and NBFCs.
Q3. Can I get a loan with a low CIBIL score?
Yes, with Vizzve's alternate data scoring and flexible partner lenders.
Q4. How long does it take to improve a low score?
Usually 3–6 months with consistent repayments and reduced credit use.
Q5. Will settling a loan improve my CIBIL score?
Not always. “Settled” status isn’t as good as “closed.” Try to pay in full.
Published on : 23rd July
Published by : SMITA
www.vizzve.com || www.vizzveservices.com
Follow us on social media: Facebook || Linkedin || Instagram
🛡 Powered by Vizzve Financial
RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed