Facts about Credit Score you didn’t know
Sat Mar 09 2019 / By: Nupur SharmaConfused about your credit score? Don’t worry. In this article, we're going to share some incredible facts you didn't know about your credit.
Your Credit Score isn’t affected by your savings
Your loan score reflects your credit history only. In short, your credit card or EMI information about your loans will only be reflected in your information such as a house loan or a automobile loan. So you are bound to improve your credit value if you make repayments diligently.
You can make multiple soft inquiries of your Credit Score
A direct inquiry from a credit office or an authorized third-party entity concerning your credit score is a soft inquiry. Countless soft queries have no influence whatsoever on your credit score.
Your credit information can't be edited directly by your credit bureaus
While credit offices are generating your credit report, they are generating it with input by various banks and other NBFCs. You are not authorized to edit / delete your credit data directly. Instead, you can only update your credit report based on the information provided by the lenders concerned.
No credit history will not mean good credit score
You couldn't be more mistaken when you think that having no credit history would mean a good credit score! It's a common Credit Score myth. However, even if you have no credit history, you should know you're still in possession of a credit score. But it's not going to be anything that you can praise.
Even if you haven’t checked it, your Credit Score exists
Your credit score has only one simple rule. If you have a history of credit, then you have a credit score! So regardless of whether your credit score has been verified or not, it is possible to obtain your credit score if you have ever borrowed money from a bank or got a credit card. Banks and other NBFCs send credit transaction history to credit offices in a monthly report from their borrowers.
Low Credit Score will not always mean no loan
While there may be different rules for different banks, a low loan score doesn't always mean a credit. You may still be able to receive a loan, but you may not get the better interest rates compared to a good credit score.
Every year you have the right to a free credit report
Were you aware that you can receive your credit value once a year for free? RBI directed all credit offices to provide credit information once a year to individuals who have a free credit report. If you require this report more than once, it can be provided for you at a small fee.