What does it mean when my Score is "NA" or "NH"?

A Score of “NA” or “NH” is not a bad thing at all. These mean one of the below:

a) You do not have a credit history or you do not have enough of a credit history to be scored, i.e. you are new to the credit system

b) You do not have any credit activity in the last couple of years

c) You have all add-on credit cards and have no credit exposure


It is important to note that while these Scores are not viewed negatively by a lender, some lenders’ credit policy prevents them from providing loans to an applicant with Scores of “NA” or “NH” (applicants with no credit track record). Hence, you may have better chances applying for a loan elsewhere.

What does it mean when my Score is "0" or "1"?

A Score of “0” or “-1” is not a bad thing at all. These Scores mean 1 of 3 things:

a) You do not have a credit history or you do not have enough of a credit history to be scored, i.e. you are new to the credit system

b) You do have had no credit activity in the last couple of years

c) You have all add-on credit cards and have no credit exposure

It is important to note that while these Scores are not viewed negatively by a lender, some lenders’ credit policy prevents them from providing loans to an applicant with Scores of “0” or “-1” (applicants with no credit track record). Hence, you may have better chances applying for a loan elsewhere.

What do you do when you spot a mistake on your credit report?

Typically, you check your credit report when your loan gets rejected and the loan provider tells you it’s because of some information on your credit report. But there is no need to panic! Mistakes on a credit report can be easily corrected with the CIBIL’s help. All you need to do is:

a) Purchase your CIBIL credit report

b) Identify the erroneous information

c) Provide name, address, date of birth, an Control Number and the nature of the error on the credit bureau’s website. This is known as a ‘Dispute Request’ in credit bureau parlance.

The Control Number is a unique 9-digit number found on the top right hand side of your CIBIL Credit Information Report and is generated every time a credit report is generated. It is very important to provide this number to the bureau, as it helps identify the CIBIL credit report on which you would like to ‘dispute’ information.


          

What is identity theft?

The easiest way to prevent Identity Theft is to regularly monitor your credit history.  Purchase your CIR 3-4 times a year and ensure that your credit history accurately reflects your credit usage and activity.  If you see Enquiries (loan applications) that you have not made, immediately.

How do you improve your credit history?

Your credit history, other than your income, is the single most important tool used by a Loan provider to evaluate your application for any loan or credit card application. Naturally, it’s important that you understand your Credit Information Report (CREDIT REPORT) and what it takes to maintain a credit history, so that is viewed favourably by Loan providers. A good credit history can be maintained by following these 7 simple rules:

• Rule 1: Always pay your bills on time. Late payments are viewed negatively by Loan providers and may affect the chances of your loan getting approved.
• Rule 2: Keep your balances low. While the balances on your loans will only reduce over time as payments are made, you must be diligent about making timely payments on your credit cards. Also, you should control your utilization. For example, if you have used Rs. 90,000 out of a credit limit of Rs. 1,00,000, this may be viewed negatively by  a Loan provider. It’s always prudent to not use too much credit. 
• Rule 3: Maintain a healthy mix of credit. Your credit history should contain a mix of a home loan, auto loan and a couple of credit cards. A high number of just credit cards may affect the chances of a loan approval. Why is it so, you may wonder. Although a credit card offers easy access to finance, it’s also by far the most expensive form of credit. More the number of credit cards with high utilization, larger are the payments resulting from its high rate of interest.
• Rule 4: Apply for new credit in moderation. If you have made many applications for loans, or have recently been sanctioned new credit facilities, a Loan provider is likely to view your application with caution. This ‘Credit Hungry’ behaviour indicates your debt burden is likely to, or has increased and you are less capable of honouring any additional debt.
• Rule 5: Think twice before closing credit card accounts. While, using credit cards may negatively impact your credit history, unused credit cards actually imply that you are financially secure. This makes Loan providers view your application more favourably.
• Rule 6: Monitor your co-signed and joint accounts monthly.  In co-signed or jointly held accounts, you are held equally liable for missed payments. This is extremely important because your joint holder’s negligence could affect your ability to access credit when you need it.
• Rule 7: Review your credit history frequently throughout the year. Unpleasant surprises in the form of rejected loan applications can be avoided by ensuring that your CREDIT REPORT accurately reflects your current financial status. So reviewing your credit history 3-4 times each year is imperative.

Though these general rules are important to keep in mind, each loan provider has its own policies to sanction a loan to an applicant.

It is important to note that your CIBIL TransUnion Score will begin to rise as you improve your credit history

What factors on my credit report are the most critical to my loan approval?

CREDIT REPORTs have been widely used by loan providers to evaluate loan applications for over 5 years.  However, only recently have people begun to realize, how crucial it is to be aware of and maintain their credit history. Understanding the CIBIL credit report helps you identify the right time in your financial life cycle to apply for a loan and increase your chances of a loan approval. Listed below are the most important attributes looked at by a Loan provider while evaluating your credit application.

•  Attribute 1: Payment History
  This appears in the Account(s) section of your CIBIL credit report. There are 2 parts to this information: the Days Past Due (DPD), and the month and year of payment that reside here. The DPD indicates how many days the payment is late that month. Anything other than “000” is considered negative by a Loan provider. Up to 36 months of this payment history (with the most recent month displayed first) are provided in this section.
• Attribute 2: Current Balances
  Also appearing in the Account(s) section of your credit report, the current balances on various loans indicate the depth of your debt. The sum of your current balances helps a Loan provider determine your strength to take on additional EMIs, in relation to your current income. Naturally, lower the current balance, the better the chance of your loan getting approved.
•  Attribute 3: New Credit Facilities
  If a loan provider observes that you have recently been sanctioned a number of new credit facilities, it would mean that your monthly outflow in terms of EMIs, are likely to have increased. Hence, it may have a negative impact on your loan application.
• Attribute 4: A number of new Enquiries
  If you have applied for a number of loans in the recent past, the chances of your loan getting approved are likely to suffer. Simply because, this credit behaviour indicates that you are “Credit Hungry” and in an urgent need of money. It is likely to make Loan providers more cautious while evaluating your credit application.

If you are planning to apply for any sort of credit facility for a purchase (home or car) in the near future, it is imperative to check your CIBIL credit report 2-3 times each year and ensure that your ‘Reputational Collateral’ is reflected accurately. This will provide you with access to credit faster and at better terms. Rest assured; that Enquiries are not added to your CIBIL credit report when you purchase one directly from a CIBIL.



          

What are the different types of Ownership indicators that can appear on your credit report?

Given that your credit history helps a Loan provider ascertain your ability to pay additional debt based on your past performance, having DPD other than “000” on your CIBIL credit report would imply that you have not met your financial obligations in the past. Hence, Loan providers may view accounts that are reported with DPD as anything other than “000” negatively and this may affect your chances of a loan approval.

It is important to note that some Loan providers report DPD as follows:

DPD	Denotes	Explanation
STD	Standard	Payments are being made within 90 days. Any account overdue by more than 90 days is classified a Non-Performing Asset (NPA) by lenders
SUB	Sub-Standard	An account which has remained an NPA for up to 12 months
DBT	Doubtful	The account has remained a Sub-Standard account for a period of 12 months
LSS	Loss	An account where loss has been identified and remains uncollectible

Any classification other than “STD” is viewed negatively by Loan providers during the loan application process.

On occasion you may see “XXX” reported for your DPD on a certain account. This means that the Loan provider has not reported that month’s DPD to CIBIL and hence, there’s no need to worry.

The best way to avoid having anything other than DPD of “000” or “STD” on your CIBIL CREDIT REPORT is, to always pay on time and the best way to always pay on time, is to avoid more debt than you can comfortably handle with your current income.

We providing assistance on behalf of the client to get CIBIL report.

Please note  we neither working on behalf of CIBIL nor any other government department.
We are Independent financial advisers.

Our services includes
1. Assisting for applying CIBIL reports
2. Helping for CIBIL report correction
3. Assisting getting loans from nationalised or private banks or NBFCs
4. Representing CIBIL issues and other matters to client's bank
5. Getting  NO DUE CERTIFICATE from banks on behalf of client after settling account
6. Liasioning between Bank and Client to sort out the matter of credit cards or loans
NOTE:
CIBIL REPORT IS STRICTLY PRIVATE AND CONFIDENTIAL DOCUMENT NEVER DISCLOSE IT
We are not providing any free services but advising professionally and result oriented.

contact:
VERITAS THE TEAM
914, Sahajanand Shopping Centre
Opp. Swaminarayan Temple
Shahibaug Ahmedabad 380004

Ph:  079-40099917
Mail : veritastheteam.smile777@gmail.com
Facebook:http://www.facebook.com/pages/Cibil-report/218719794859563
looking for loan get your credit score call 079-40099917
VERITAS-Independent Financials Advisors, Ahmedababd INDIA