23-Feb-2016 written by : FSI-Team
Those who access credit regularly are being told through various sources of information that keeping a tab on one’s credit score is important for more reasons than one. While the awareness about credit bureaus are on the rise thanks to the recent dissemination of a tonne of information about credit and credit scores, people take a step back when it comes to really checking their CIBIL score or the credit report from any of the other credit bureaus such as Experian, Equifax and Crif High Mark.
The reason people are not very keen to do so accessing their credit score is because it comes at a price. Unlike the west, none of the bureaus offer access to one’s credit score and credit report free of cost even once annually. What then is the way out? Is there any way one can access one’s credit score for free to be assured about one’s financial health? Read on to find out more.
We live in a world today where credit plays a major role in all our lives. It is very unlikely for you to come across anyone who is not servicing credit in some form or the other. If one does not have a home loan or a vehicle loan that he is servicing, he may in the very least having a credit card or two. In a day and age, where credit plays an integral role in our lives, banks must walk the extra mile to ensure that their borrowers are creditworthy.
Keeping this is mind, the Reserve Bank of India, the central banking authority in India has made checking of an individual’s CIBIL score compulsory as a part of credit assessment for every commercial bank. A good CIBIL score of 750 and above (out of 900) thus opens up doors when you are in need of credit, and also gives you the opportunity to choose between lenders who are offering you the loan or credit card at terms and that are best suited to you at competitive interest rates.
To ensure that your financial health is in order therefore, you must not only make continual efforts to increase your credit score, you must also keep a periodic vigil on your CIBIL score to make sure that errors and discrepancies do not creep into it. Given the volume of data that lenders handle every day, sometimes wrong information gets passed onto CIBIL and other credit bureaus. Sometimes a bigger problem such as an identity theft may manifest, with someone else taking advantage of your good credit behaviour to access loans at better interest rates, while you are stuck with a poor CIBIL score that may land you in a soup when it is your turn to access credit.
If you do not check your CIBIL score and CIBIL report once in a while, errors will continue to show on your credit report, thus bringing your CIBIL score down. Your score may therefore end up being low for no fault of yours even though you have made conscious efforts to improve your CIBIL score. However, much as it is advocated that one must check his CIBIL score at least once or twice in a year,
to ensure that things are on track, checking on one’s credit score comes at a price. CIBIL currently charges Rs 500 to access one’s CIBIL score and CIBIL report, while other bureaus to charge a fee of anything between Rs 130-300.
Paying this kind of money can seem like a burden each time one wants to access his CIBIL score, especially for those who are vigilant and would like to keep a check on their credit scores often. There may be yet others who need to check their credit scores urgently before they make an application for a home loan and vehicle loan or may even be applying for a new job.
For those who want to get free access to their credit score, can still do so at www.freescoreindia.com. This is website that is operating in conjunction with CreditSudhaar, India’s first credit health management company that allows customers to access their credit scores for free. All you have to do is log on to the website and fill in the simple and basic information about your identity details. You will also have to state the reason why you need to access your credit.
Once your details are verified you will receive your credit report in your mailbox within the next 72 hours. The only difference that you will have to bear with is the slight delay in the receipt of your credit report through www.freescoreindia.com. If you choose to pay to access your credit score and credit report, you will receive your CIBIL report and CIBIL score in your mail immediately. If you do not mind the wait though, www.freescoreindia.com is your ticket to the access of your credit report at absolutely no cost.
While there has been a clamour in the past through investor protection groups to make the access of the CIBIL report free at least once a year, The Reserve Bank of India has not issued any diktat directed at credit bureaus as of yet. As a result, customers find themselves in a quandry as to whether or not to pay for their CIBIL report. Therefore, if it just the payment part that is holding you back from accessing your CIBIL report, log on to www.freescoreindia.com today and asses your financial health.