Tips: Do You Have Poor Credit score? Consider these steps to improve

To improve the credit score, each effort of an individual count. But, the efforts should be continuous and in the right direction.


CIBIL score or credit score is a vital factor in determining whether an individual will be sanctioned a loan or not. CIBIL score is based on the credit history of an individual that includes any past credit taken and repayments made to them.

A high credit score indicates strong credit worthiness. Whereas, a low credit score signifies low credit worthiness. Lenders tend to hesitate to approve the loan application of any borrower with low credit score. Therefore, before applying for a loan, one must always check their credit report.

What does it mean when your Credit Score is “Null” or “NA”?

The financial system gives various ways to get free credit score in India. You can get your credit report for free either from credit bureaus or online loans and credit cards marketplaces such as

In case of credit bureaus, you’re entitled to get a full free credit report only once in a year. However, with companies like, you can get your credit report along with monthly updates for free. If you find that your credit score is low, improve it else you’ll not get credit card or loan applications sanctioned from lenders.

A sudden improvement in the credit score is never witnessed. Improving a credit score takes time and can only be done gradually. One must make the right kind of effort to notice an improvement in their credit score.

To improve the credit score, each effort of an individual count. But, the efforts should be continuous and in the right direction. (Also read: How To Fix Your Credit Report Errors

What does it mean when your Credit Score is “Null” or “NA”?

Not having a credit score is not necessarily a bad thing. No credit score may also suggest that you were not in need of any credit yet. It is not an indicator that you have a bad credit score. It can mean any one of the below mentioned:

  • No credit score can mean that you do not have a credit history and are new to the credit system
  • You do not have any credit activity in the last couple of years

Not having a credit score is not a bad thing but some lenders have a credit policy, which prevents them to sanction loans to an applicant with null credit score. Hence, you can have a better chance of approval for a loan elsewhere.

How can you improve your Credit Score?

As we know credit score is important to get a loan, let us look into what all you can do to improve your credit score. The need to improve your credit score only arises when you are applying for a new loan or credit card.

Following are some steps, which you can apply to help improve your credit score.

  • Apply for a Secured Credit Card – Any individual with a null CIBIL score will face difficulty to get a loan approved as they have no credit history. Every lender checks the credit history of the borrower to assess whether the borrower will be able to make the repayments or not. To build a healthy CIBIL score, you have to take credit. One of the easiest ways to start building a healthy credit score is to apply for a secured credit card. For those who are new to credit ecosystem must apply for a secured credit card as any lender will not provide them with unsecured credit cards. So, they can easily access secured credit cards are given against a security amount.
  • Avoid Applying for Multiple Credit Cards at once – You should try to avoid applying for numerous credit cards at once as every time you apply for a credit card, it impacts your credit score.
  • Use Credit Card Regularly – If you want to build a healthy credit scored, you should use your credit card more often. As, building a healthy CIBIL score is not a one day job and takes time to build. Regular use of credit card helps in building credit score but you also should ensure to make timely repayments to maintain the credit history.
  • After a year, give Unsecured Credit Card a try – Before applying for an unsecured credit card, you must use secured credit card regularly for at least six months to create enough credit history. To increase your chances of getting approval for an unsecured credit card, build a good credit history for a year, as it would be enough to demonstrate your timely repayments and finance management.

Credit history cannot be built in a day. It can take you six months or even a year, which depends on your usability and how you handle credit.

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1 Comment
  1. Tien says

    In todays world there are many people with damaged credit history, and after people are surprised that can’t get the new loan or credit card applications are declined.

    Banks knows more about our history than we do 🙂

    Good content, but would be good to have one in more details.