How To Increase CIBIL Score In 2025: 10 Proven Ways

Are you struggling to secure loans or credit cards with favourable terms? Your CIBIL score could be the culprit. CIBIL, or Credit Information Bureau (India) Limited, is a credit score that lenders use to evaluate your creditworthiness. A high CIBIL score can help you access credit with ease, while a low score can make it difficult to obtain credit or result in unfavourable terms. If you’re wondering how to increase CIBIL score fast, we’ve got you covered with effective strategies to boost your creditworthiness and improve your financial standing.

In this ultimate blueprint, we’ll delve into some top strategies that can help you boost your CIBIL score. We’ll start by exploring what is considered a good credit score and the CIBIL score range. Then, we’ll dive into actionable tips on how to increase CIBIL score, including ways to reach an impressive score of 800. But what if you don’t have a credit card? No problem. We’ve also included tips on how to increase CIBIL score without a credit card.

Don’t let a low CIBIL score hold you back from your financial goals. Read on to discover the ultimate blueprint on how to increase CIBIL score fast.

What Is Considered a Good Credit Score?

If you want to get approved for loans and credit cards at favourable terms, then a good credit score is an essential component. The CIBIL score is a widely used credit score in India. And, if you have a score of 750 or above, it is generally considered a good score. You can learn how to increase CIBIL score in one month but it will be full of shortcuts, which can be risky.

Here is a breakdown of the CIBIL score range and what each range means:

• 750 or above: Excellent
• 700-749: Good
• 600-699: Average
• Below 600: Poor

However, each lender has its own credit score criteria. What’s considered a good score with one lender may be insufficient for another. As a result, you must maintain a good credit score overall. It will help you to enhance your chances of securing loans and credit cards with favourable terms.

Also Read: Understanding Credit Ratings for Businesses in India

CIBIL Score Range

The CIBIL score is a three-digit number. It reflects your creditworthiness. The credit score typically ranges from 300 to 900. If the score is higher, it indicates a better credit profile. Let’s get into more detail about the CIBIL score range:

• 750 or Above: If your CIBIL score is 750 or above, it is considered an excellent credit score. Borrowers with good scores are more likely to get favorable deals in loans and interest rates.
• 700-749: If you have a credit score between 700-749, it is still considered good. You can get decent loan terms and interest rates.
• 600-699: The credit score between 600-699 is considered average. You may face some challenges in getting loans at the desired terms.
• Below 600: The credit score below 600 is considered poor. If you have such a score, you may find it difficult to get loans or credit cards.

You can also check your credit score free online by pan number.

How To Increase CIBIL Score With 10 Easy Steps

Improving your credit score will take time but it’s all worth it. With a good score, you can get loans and credit cards with favorable terms. By implementing the below strategies consistently, you can improve your CIBIL score over time. So, let’s move ahead and learn how to increase CIBIL rating from 500 to 750 and above:

1. Set Reminders to Repay on Time
2. Check for Errors in your Credit Report
3. Try Maintaining a Healthy Credit Mix
4. Clean all Credit Cards
5. Say No to Being a Joint Account Holder
6. Get a Secured Card
7. Avoid Taking Multiple Loans at a Time
8. Use a Secured Credit Card to Build Credit
9. Avoid Frequent Credit Balance Transfers
10. Increase Your Income & Debt Repayment Capacity

1. Set Reminders to Repay on Time

To maintain a good score, making timely payments is important. You can do this by setting reminders. Some of the key points to keep in mind are as follows:

• Timely payments help an individual to build and maintain a good credit score.
• You can stay on track with the payment by setting reminders.
• Your credit score may suffer if you make payments late or miss them altogether.
• To set reminders, use mobile apps, email, or SMS alerts.
• Moreover, automatic payments can ensure timely payment.
• Keep track of payment due dates and make sure your account has enough funds.

You may increase your CIBIL score and build your creditworthiness by setting reminders and ensuring timely payments. Remember to make timely payments every month so that late or missed payments don’t negatively affect your credit score.

2. Check for Errors in your Credit Report

Your credit score should be based on accurate information only. Therefore, checking for errors in your credit report and correcting them is important. This will improve your creditworthiness.

Plus, it’ll become easy for you to avail of credit in the future. Some of the points to remember are:

• Obtain a credit report copy from CIBIL or other credit bureaus.
• Check your credit report thoroughly for any mistakes or discrepancies.
• Check for errors in the account information, personal information, and payment history.
• If there are any errors, contact the credit bureau immediately.
• Ensure that the corrections are made by following up with the credit bureau.
• Regularly review your credit report to ensure that all information is accurate.

3. Try Maintaining a Healthy Credit Mix

Another important factor in building and maintaining a good cradit score is maintaining a healthy credit mix. Credit mix refers to the different types of credit. This includes credit cards, loans, and other types of credit. You can show that you can responsibly manage different types of credit by maintaining a healthy credit mix. Here are some key points to keep in mind:

• Having a mix of credit types can help improve your credit score.
• Having too much of one type of credit can negatively impact your score.
• Avoid applying for too much credit at once, as this can also lower your score.

4. Clean all Credit Cards

Credit cards are seen as a very useful financial tool. But it is important to manage it properly. If you clean up your credit cards and use them responsibly, it can hurt your score. By cleaning up your credit cards and using them responsibly, you can improve your credit score over time. Some points to remember are:

• You need to review all of your credit cards. It’ll give you a better understanding of which ones you really need.
• It’ll be good if you close any credit card accounts that are no longer in use.
• Pay off your credit card balances in full each month.

Remember to use credit cards responsibly and make timely payments to maintain a good score.

5. Say No to Being a Joint Account Holder

Avoid holding joint accounts until absolutely required if you want to keep your CIBIL score high. Agree for a joint account only if you completely trust the primary account holder. Monitor the account regularly to ensure that the payments are made on time

• Both account holders are equally responsible for repaying the debt.
• Make sure that the payments and not late or missed on a joint account. There should be proper communication between both account holders.
• Having trust is crucial here. If the primary account holder defaults on the debt, it can also impact your score.
• Being a joint account holder can limit your ability to avail of credit in the future

6. Get a Secured Card

Getting a secured card can be a good option if you are still trying to get approved for a traditional credit card. It can help build or rebuild your credit score. Here are some key points to keep in mind

• A secured card is backed by a deposit that you make upfront, which acts as collateral.
• Even if you have a low credit score or no credit history, it is easy to obtain a secured card.
• Make sure to choose a secure card with low fees and a low interest rate.
• Use your secured card responsibly by making small purchases. And paying them off in full each month.

7. Avoid Taking Multiple Loans at a Time

Taking multiple loans at a time will not be good for your credit score and financial stability. Avoid taking multiple loans unless it’s necessary. Some points to remember are:

• Applying for a loan leads to a hard inquiry on your credit report. This can lower your score.
• If you take multiple loans at a time, it’ll become difficult for you to miss out on payments sometimes. It may harm your score.
• Defaulting on any loan can make it harder to avail of credit in the future.
• Take loans only if you can afford to repay. Plus, keeping track of due dates and timely payments is a must to maintain a good credit score.

By avoiding multiple loans, you can reduce the risk of default and improve your credit score over time.

8. Use a Secured Credit Card to Build Credit

A secured credit card is an excellent way to build or improve your CIBIL score, especially if you have a low score or no credit history. It is issued against a fixed deposit (FD), reducing the risk for banks while allowing you to develop a strong credit profile.

• Easy Approval – Since it is backed by an FD, approval chances are high, even with a low CIBIL score.
• Builds Credit History – Regular usage and on-time payments reflect positively on your credit report.
• Low Risk of Rejection – Unlike regular credit cards, a secured card is more accessible for those with poor credit.
• Helps Increase Credit Limit – As you maintain good payment behavior, banks may offer higher limits over time.
• Converts to a Regular Credit Card – After responsible usage, banks may upgrade your secured card to an unsecured one.

By using a secured credit card responsibly, making timely payments, and keeping credit utilization low, you can steadily increase your CIBIL score and improve your financial credibility.

9. Avoid Frequent Credit Balance Transfers

A credit balance transfer allows you to move your outstanding credit card debt from one bank to another, often at a lower interest rate. While this can be beneficial in certain situations, frequent balance transfers can negatively impact your CIBIL score and financial health.

Why You Should Avoid Frequent Balance Transfers:

• Multiple Hard Inquiries – Every transfer request leads to a hard inquiry on your credit report, reducing your score.
• Higher Perceived Credit Risk – Banks may view frequent transfers as a sign of financial instability or over-dependence on credit.
• Potential Hidden Fees – Some banks charge processing fees, which can increase your overall debt burden.
• Short-Term Relief, Long-Term Debt – Relying too much on balance transfers without reducing actual debt can hurt your creditworthiness.
• May Impact Loan Approvals – Lenders prefer applicants with stable credit behavior, and frequent transfers may raise red flags.

Best Practices Instead of Frequent Balance Transfers:

• Focus on paying off your credit card dues rather than shifting them.
• Negotiate lower interest rates with your current bank before opting for a transfer.
• Use EMI options on your credit card for better repayment flexibility.
• Maintain a healthy credit utilization ratio by keeping usage below 30%.

10. Increase Your Income & Debt Repayment Capacity

A higher income and better debt repayment capacity play a crucial role in improving your CIBIL score and overall financial health. Lenders assess your repayment ability based on your income-to-debt ratio, which determines your creditworthiness.

• Look for better job opportunities or freelance work to increase earnings.
• Reduce unnecessary expenses and allocate more towards debt repayment.
• Avoid taking multiple loans at the same time to maintain a healthy debt-to-income ratio.
• Invest in passive income sources, such as fixed deposits (FDs), mutual funds, or rental properties.
• Consider salary hikes or skill upgrades to improve your earning potential.

By increasing your income and improving your debt repayment capacity, you can clear debts faster, reduce financial stress, and boost your CIBIL rating for better credit opportunities.

Limit your Credit Utilization Ratio

Limiting your credit utilization ratio is an important factor in maintaining a good CIBIL rating. You can improve your credit score by keeping your credit utilization ratio low. Additionally, the chances of getting approved for credit in the future can also be increased.

• Your credit utilization ratio is the amount of credit you have used compared to the total amount of credit available to you.
• A high credit utilization ratio can negatively impact your score and make you appear riskier to lenders.
• Your credit usage percentage should be kept below 30%.
• Paying off your credit card balances in full and on time every month can help keep your credit utilization ratio low.

1. Choose a Longer Tenure

Choosing a longer tenure and making timely payments can help maintain a good credit score. By this, you can maintain a good credit score and avoid defaulting on your loans. It’s also important to assess the financial situation before choosing a tenure. This will help you to manage your loans effectively.

• A longer loan tenure means smaller EMIs. This can make it easier for you to make timely payments.
• By choosing a longer tenure, you can reduce the burden of the loan. Plus, managing finances will become easier.
• However, a longer tenure can also mean paying more interest over the life of the loan.
• It’s important to weigh the pros and cons and choose the best tenure for your financial situation

2. Increase your Credit Limit

Increasing your credit limit can help you improve your score, but it’s important to use this strategy carefully. Here are some key points to keep in mind:

• A higher credit limit can reduce your credit utilization ratio, which is an important factor in determining your credit score.
• With the increase in credit limit, comes an increase in debt potential. It can be risky if you’re not able to manage your credit effectively.
• Before requesting a higher credit limit, ensure that you have a good track record of making timely payments.
• Also, be aware that requesting a higher credit limit may result in a hard inquiry on your credit report, which can temporarily lower your score

Mastering CIBIL Score Improvement Strategies

In conclusion, maintaining a good CIBIL score is essential for availing of loans and credit facilities. A high CIBIL rating indicates a borrower’s creditworthiness, making it easier to get loans with favourable interest rates and repayment terms. In contrast, a low score can lead

To increase your score, it is essential to make timely payments, avoid high credit utilization, and maintain a healthy credit mix. It is also recommended to check your credit report regularly for errors and take steps to rectify them. Additionally, avoiding multiple loans simultaneously, being a joint account holder, and choosing a longer tenure can also improve your score.

While it may take some time to see significant improvements in your CIBIL rating, consistent efforts toward maintaining a good credit score can yield long-term benefits in terms of loan eligibility and better interest rates. Therefore, taking steps toward improving and maintaining your score is crucial.

Frequently Asked Questions (FAQs)