The cost of living has increased tremendously in the past few years; however, the average income of the middle-class household has failed to keep up with the inflation. Thus, people are left with no other option but to opt for financial assistance from new-age financial institutions and NBFCs (Non-Banking Financial Companies). However, to avail financial assistance, borrower’s need to fulfil the eligibility criteria set by the banking institutions.

In the world of personal finance, your CIBIL score holds significant importance, especially when it comes to availing personal loans. But what exactly is a CIBIL score, and why does it matter? Let’s break it down in simple terms.

What is a CIBIL Score?

Your CIBIL score is a three-digit numerical representation of your creditworthiness. It is calculated based on your credit history, which includes your repayment track record for loans and credit cards, the length of your credit history, the types of credit you’ve used, and any outstanding debts. This score ranges from 300 to 900, with a higher score indicating a healthier credit profile. You can cibil score check online free by visiting affiliate websites or banking websites.