What Affects Your Credit Score? | How Can You Improve Credit Score?

Welcome to a world where numbers hold the key to your financial freedom! Get ready to dive into this exciting world of credit scores as we progress to Day 2 of the Credit Score Awareness Week!

Imagine your credit score as a puzzle, where each piece represents a factor that influences your creditworthiness. Let's solve this puzzle together!

Firstly, we have payment history, the cornerstone of your credit score. It carries the most significant weightage in shaping the credit score. Timely payment of credit card bills, EMIs, and loan instalments is crucial to maintaining a healthy credit score.

Next, we have credit utilization, the balancing act of your credit score. It's all about keeping your credit card balances in check. The most recommended credit utilization is 30% or below.

Now, let's talk about credit history, the story of your financial journey. The longer you've had credit and managed it well, the more trustworthy you appear to lenders. It's like building a solid track record of financial reliability.

Ah, credit mix, the diversity factor. It's about having a healthy blend of different types of credit, like loans and credit cards. Showing that you can handle different financial responsibilities adds depth to your credit score.

Lastly, we have inquiries and new credit. It's like the fine print on your credit score report. Be mindful of how often you apply for new credit, as excessive inquiries can have a slight impact on your score.

As we explore the impact of these factors, it's important to remember that maintaining a good credit score is like putting together a puzzle. Each piece plays a vital role in creating a clear financial picture.

Remember, your credit score is within your control.

Check your credit score now - https://bit.ly/42ucIu8
Read more here - https://www.bankbazaar.com/cibil/majo...

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Time stamps -

0:00 - What impacts your credit score?
0:25 - How payment history affects credit score?
0:43 - Why a 30% Credit utilisation ratio is good for your credit score?
0:56 - How your credit history impacts your credit score?
1:09 - How important is to have a good credit mix to maintain a good credit score?
1:25 - How new enquiries for credit lines affects credit score?