RESUME APPLICATION PAY PREMIUM
Fund Performance

Fund Performance

Knowledge Center

Knowledge Center

About Us

About Us

Tools and Calculators

Tools & Calculators

Quick links

Mobile (Download app)
  • Webpages
  • Documents
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment

For NRI Customers

(To Buy a Policy)

(If you're our existing customer)

For Online Policy Purchase

(New and Ongoing Applications)

Branch Locator

For Existing Customers

(Issued Policy)

Fund Performance Check

RESUME APPLICATION PAY PREMIUM

What do you want to do?

Quick links

Mobile (Download app)

Download HDFC Life App

Buy plans, track your policy, make renewal payments & monitor fund performance with HDFC Life App, Download Now!

Apple Logo Go to Google Play Store

Require a loan? Here is what you need to know about your CIBIL score

down-arrow
Require a loan? Here is what you need to know about your CIBIL score
October 08, 2018
Credit health is a very important factor in determining your financial freedom. At one point or the other, you may require a loan for meeting a specific purpose in life. As such, it is very important that you maintain a good credit health for enhancing your eligibility for a loan. CIBIL score is a primary indicator of your financial well being, as it denotes your complete candidacy for the crediting agency. Whenever you apply for a loan, banks check your CIBIL Score and Report to evaluate your credit history and credit worthiness. The higher your score, the better are the chances of your loan application getting approved.

CIBIL score is a critical factor in loan application process. The CIBIL Score plays a critical role in the loan application process. After an applicant fills out the application form and hands it over to the lender, the lender first checks the CIBIL Score and Report of the applicant. If the CIBIL Score is low, the lender may not even consider the application further and reject it at that point. If the CIBIL Score is high, the lender will look into the application and consider other details to determine if the applicant is credit-worthy.

This means that CIBIL score is the first step or the initial gateway before other factors can be checked and the application processed. CIBIL score is a three digit number and ranges from 300 to 900. A higher score (i.e. a score closer to 900) means a higher probability of getting your loan approved.

Calculation of CIBIL score is done through consideration of several factors. These factors are listed under:

  1. The applicant's repayment history:

    The repayment history accounts to 35 percent of the score. Therefore you need to clear all your bills and loans well within the due date to maintain a good repayment history. If you default even once, it will negatively impact your score.

  2. The credit balance:

    The amount you owe to the lender accounts to 30 percent of the CIBIL score. There are two considerations with regard to this, the first being the total credit limit that is being sanctioned to you and the second being how much of the credit have you utilized.

  3. The amount of time for which you have used credit:

    This is an important factor as well and it accounts to 15 percent of the score. If you have been servicing the loan for a longer period and handled it responsibly and made timely payments, then it will positively affect your CIBIL score.

  4. New credit that you have applied or taken:

    This accounts to 10 percent of the credit score. Each time you apply for a credit, the lender will run a credit check on you and if there are too many inquiries going through, it will negatively impact your credit score.

  5. Credit mix:

    This accounts to another 10 percent of the CIBIL score. If you are avoiding credit like a plague and just opted for a single type of credit, it is not helping you have a good credit score.

HDFC Life presents free online CIBIL calculator. For further details and to check your CIBIL score

Show Full Article
Hide Full Article

Term Plan Articles Term Plan Articles

Investment Articles Investment Articles

Savings Articles Savings Articles

Life Insurance Articles Life Insurance Articles

Tax Articles Tax Articles

Retirement Articles Retirement Articles

ULIP Articles ULIP Articles

Health Plans Articles Health Plans Articles

Child Plans Articles Child Plans Articles

Popular Calculators Popular Calculators

Francis Rodrigues Francis Rodrigues

Francis Rodrigues has a decade long experience in the insurance sector, and as SVP, E-Commerce and Digital Marketing, HDFC Life, manages the online sales channel, as well as digital and performance marketing. He has had hands-on experience in setting up sales channels and functional teams from scratch over a career spanning 2 decades.

LinkedIn profile
Author Profile Written By:
Vishal Subharwal Vishal Subharwal

Vishal Subharwal heads the Strategy, Marketing, E-Commerce, Digital Business & Sustainability initiatives at HDFC Life. He is responsible for crafting and ensuring successful implementation of the overall organisation strategy.

LinkedIn profile
Reviewed By Reviewed By:

Here's all you should know about life insurance.

We help you to make informed insurance decisions for a lifetime.

What Is Insurance?

What Is Insurance?

Learn the essentials of what is insurance, its types, benefits, and how it protects your finances. Get insights into life and general insurance policies today.

Blue Chip Fund

Diversified Equity Mutual Funds

Insurance Overload: Are You Hoarding Policies Instead of Securing Your Future?

Find out exactly how many insurance products do you need to protect your familys future. Avoid policy overload and secure peace of mind with expert insights.

Insurance Overload: Are You Hoarding Policies Instead of Securing Your Future?
Know About TDS on Life Insurance Policies Previous
How to Get a Good CIBIL Score at a Young Age? Next
HDFC life
HDFC life

HDFC Life

Reviewed by Life Insurance Experts

HDFC LIFE IS A TRUSTED LIFE INSURANCE PARTNER

We at HDFC Life are committed to offer innovative products and services that enable individuals live a ‘Life of Pride’. For over two decades we have been providing life insurance plans - protection, pension, savings, investment, annuity and health.

Popular Search

Popular Searches