CIBIL score has gained popularity recently, and this is the most common term used in the banking and finance industry. Still, many of us are not aware of this term. A credit or CIBIL score is nothing but a three-digit number that defines the credit reputation. In the CIBIL dispute, it isn't easy to get a hassle-free credit card or loan.
CIBIL score represents the borrower's entire credit history; any kind of late payment or outstanding debts can lower the CIBIL score.
If you have a low CIBIL score
What happens if your CIBIL score is low? Banks and loan institutions think that you are a vulnerable or risky customer. A low CIBIL score represents how you have paid your loans previously and what's your current state.
How to get the loan with a CIBIL dispute or low CIBIL score?
Although it is very difficult to get an easy loan or credit card with a low CIBIL score, some financial institutions provide loans at a high-interest rate for such cases. It would be best if you created an assurance-
- Always provide a valid and good proof of income source
- Try to get loans from non-banking financial companies as these firms take the low CIBIL score applications
- Try to apply for a low amount instead of a big one, or try to get a guarantor along
- Consider the option of a joint loan as it increases the chance of approval even with a low credit score
- Find out the banks which are associated with your employer
- Always go for secured loans and give collateral to avoid any rejection
Following the above steps can help get a loan even with the CIBIL dispute or low score.