Simple hacks to increase your credit score

What Is A Credit Score?

A credit score is a three digit number that is calculated by a credit bureau on studying your credit history.

Who Calculates Your Credit Score?

At present, there are 4 credit bureaus in India: TransUnion CIBIL, Experian, Equifax and CRIF Highmark. They collect a borrower’s credit score and sell this information at a fee to financial institutions. These companies hold large amounts of credit data. For instance, TransUnion possesses the data of over 600 million individuals and 32 million businesses.

More on the Credit Score:

A credit score is a three digit number that decides credit worthiness. The logic is this: The better your credit score, the more willing a bank would be to disburse a loan for your needs as they are convinced, based on your credit score, that you have a good track record in terms of purchase history, debt and card repayments. This score establishes the health of your financial transactions based on your payment record.

What is a Good Credit Score?

Typically, according to the CIBIL algorithm, a score above 750 is considered to be a good credit score and increases one’s chances of availing various credit card schemes and loans. The higher this score is, the better your credit history is.

The credit score chart provides you with a basic outline on the range of credit scores as below:

  • Excellent: 800 to 850
  • Very Good: 740 to 799
  • Good: 670 to 739
  • Fair: 580 to 669
  • Poor: 300 to 579

Why is my credit score important?

It is extremely important to maintain a healthy score to be able to secure financial assistance in the future. For example, one needs a good credit score when applying for education, housing, personal loans, or any other loan. A poor credit score reduces one’s eligibility for loans as a financial institution is less likely to disburse funds with a proven record of defaulting repayments.

Hacks To Increase Your Credit Score

There are some simple hacks to increase your credit score and maintain the same at a healthy level.

  1. Regularly review your credit score by contacting the credit bureau.
  2. If you cannot handle multiple payments, set regular payment reminders on your mobile phone or computer. Alternatively, you could make use of a highly rated savings app to either automate your payments, keep tracking of monthly payment schedules and inculcate a saving habit.
  3. Ensure to make the payments within the billing cycle or the credit period.
  4. Try to make a minimum payment on the credit card if you cannot pay the entire payment before the due date.
  5. Never let your credit card decline due to a lack of funds.
  6. Keep a tab on your expenses and use a debit card whenever possible.

How to Improve Your Credit Score With Innoviti:

One’s purchase behavior is a deciding factor in maintaining a good credit score. As credit card users are always looking to improve their credit score, customers can take advantage of Innoviti’s EMI schemes, especially the EMI wallet offered on genie, as it comes with flexible repayment tenures on a wide range of electronic products. Since our products are designed while keeping your particular interests in mind, it is easy to navigate money crunches and dry months by using the many features that our terminal offers. Here are a few strategies you could follow:

  1. Opt for smarter purchase options like debit card and credit card EMI especially at no extra cost on Innoviti terminals can help reduce your burden of debt.
  2. EMIs are now available on all devices with Innoviti #KuchbhionEMI campaign, allowing you flexible repayment tenures.
  3. Opt for EMI purchase options to reduce the burden of debt in one go. Avail this option with a no-cost EMI option.

How is Credit Score Calculated?

While each credit bureau follows a specific algorithm while calculating credit score, the following basic breakdown remains constant in all considerations:


The answer to your question is time and patience. Since your credit score reflects your financial credibility, it may take a complete year or a period of 12 months to rebuild it. Even loan payments are taken into account here.

For instance, if you choose a 6-month No Cost EMI and decide to purchase a product worth Rs. 30,000, you would be required to pay your EMI provider Rs. 5,000 each month for the duration of the 6-month period, which will result in a final payment of Rs. 30,000 with no interest charges.

Another factor that needs to be kept in mind is cibil score vs. credit score. CIBIL stands for ‘Credit Information Bureau India Limited.’ CIBIL is an organization that allocates the credit score based on specific financial parameters like a credit history to an individual.

On the other hand, credit score is a number calculated based on the information in your credit report. This number is used to help decide whether you are eligible for a loan, what interest rate you will be offered and what kind of account you are eligible for.

A good credit score ranges between 600 points to 850 points. The higher the number of points, the better the CIBIL score will be.

You can check your credit score any time you want by contacting the credit bureau through the helpline or emailing them. A minimal fee is charged for a detailed report.

There are several workarounds to increase your credit score, and you can always find more information at Innoviti as we are committed to helping you make an informed decision. A common misconception to avoid is that spending less contributes to a better score. This is false. In order to have a robus credit score, one must have diverse expenditures. Fear of missing payments and collecting debts often leads to minimal or extremely orthodox expenditure. With Innoviti, merchants are empowered to offer their products at flexible rates to customers based on their needs. Not only are customers able to take home a product that they love, but in taking advantage of our one-of-a-kind EMI options and commercial collaborations, they are able to improve their credit score.