Why CIBIL Score is important?
CIBIL score helps you get a loan or a credit card
What is good CIBIL score?
700+ is a good score and makes you eligible to get credit easily
Zero Balance Account
Save as you wish, with no minimum balance restriction and earn up to 7%* interest with ActivMoney
What is a CIBIL score?
Are you looking for a loan or a credit card? Then you must know about CIBIL/credit score and how it works. The Credit Information Bureau, licensed under the Reserve Bank of India, analyses your history with credit and repayment behaviour to generate a 3-digit number ranging between 300 and 900. This is your credit score or CIBIL score.
The CIBIL score or credit score is calculated after taking into account 36 months of credit history. There are four main factors that impact your credit score:
- Payment History – focuses on how a customer repays his/her existing credit.
- Credit Exposure – is an account of how long you have been exposed to credit.
- Type of Credit – tracks the variety of credit that has been availed by you.
- Credit Utilisation – is a consideration of how the credit has been utilised.
What is a good CIBIL score?
It is suggested to maintain a score range of 700 to 900. The higher your score, the better your chances are to access a hassle-free loan in the future. A customer with a high credit score is considered a responsible borrower.
How does having a good CIBIL score help you?
Some of the key advantages of having a good CIBIL score are:
- Get a high credit limit
- Quick and easy processing of loan/credit applications
- Negotiation power when it comes to interest rates
- Availability of a range of credit cards with multiple features
- Stretch your loan tenure
Steps to check your CIBIL score?
- Key in your credentials to open Kotak811 Savings A/c
- During the A/c opening journey, you will be asked to give consent to check your CIBIL score
- Give consent, and your score will be checked
- Based on your eligibility, you can apply for a credit card
How does ActivMoney work?
- First, you need to open a Kotak811 savings account and subscribe for ActivMoney.
- ActivMoney will be activated only when your account balance crosses the threshold of ₹25000 (the activation threshold).
- Money from your savings account is automatically swept out to ActivMoney in multiples of ₹5000.
- Suppose you deposit ₹ 30,000 in your account. After keeping the threshold of ₹25000 the excess money ₹5000 will be moved to ActivMoney.
- Money lying in ActivMoney will earn 7%** p.a. interest and the same will be credited after 180 days.