Savings AccountSavings Account
Term DepositsTerm Deposits
Credit CardsCredit Cards
NRI AccountNRI Account
LoansLoans
Preferred BankingPreferred Banking
chat Chat

Understanding CIBIL Score and Report: Key Differences Explained

RBL Bank May 08, 2025

Both CIBIL Score and CIBIL Report are dependent on your credit history. Your CIBIL Report is a detailed document that shows your credit history. It includes your personal information, contact information, employment details, loans accounts, enquiry information, and credit card details. Meanwhile your Credit Score is a 3-digit numeric summarised representation of your credit and payment history that reflects your creditworthiness.

What is a CIBIL Score?

A CIBIL Score is a three-digit numeric summary of your credit history, ranging from 300 to 900. It represents your past credit behaviour and how well you have managed your credit products. A good CIBIL Score increases the chances of your loan application’s approval and helps in availing funds at ease. Lenders consider your CIBIL Score as one of the first things while evaluating your loan or credit card application.

What is a CIBIL Report?

A CIBIL Report is a detailed document that contains information about your credit history, including your loan and credit card accounts, payment history, credit enquiries, and other credit-related data. It provides a comprehensive view of your credit behaviour and helps lenders assess your creditworthiness. A CIBIL Report is usually required by lenders to evaluate your loan or credit card application.

Duration

Your CIBIL Report takes into account your credit history of the past 36 months. Your CIBIL score is derived from your credit actions over the past 24 months. However, these are technical differences. In effect, both are important in getting loans approved and shaping your eligibility.

What's a good credit score?

As per the rules, you cannot have a CIBIL Score if there is no credit information of more than 6 months to your name. This is not possible when you are taking credit for the first few times. In that case you are marked NH/NA (No History or Not Available). You can slowly work towards a good credit footprint by maintaining regular payments, a good credit mix, and limiting your credit usage. A good credit score, typically 680 or above, significantly influences loan eligibility and interest rates. After 6 months, you will have your CIBIL Score. This score is expressed in numerals ranging from 300 to 600. The higher the number, the better your chances of loan approval. As per research, a score of more than 750 puts you in the high probability bracket. 79% of all loans are awarded to people with credit scores exceeding 750.

How is Your CIBIL Score Calculated?

Your CIBIL Score is calculated based on the information in your CIBIL Report, which includes:

  • Payment history (35%): Your history of making timely payments on your loans and credit cards.
  • Credit utilisation (30%): The amount of credit you are using compared to the amount of credit available to you.
  • Length of credit history (15%): The length of time you have had credit accounts.
  • Types of credit used (10%): The mix of different types of credit accounts you have, such as credit cards, loans, and mortgages.
  • New credit (10%): New credit accounts you have opened recently.

What if you don't have a credit report?

You can have a fair shot even if you have no score or a score lesser than 750. The CIBIL score is a critical factor that lenders assess before making lending decisions. Loan providers also go through your CIBIL Report for a more holistic view of your credit footprint. This includes outstanding dues, payment dates, defaults on loan accounts, number of enquiries on your account, and so on. This information might be enough for them to approve your loan.

How are good scores rewarded?

A good CIBIL Score and an impressive CIBIL Report can not only help you acquire credit easily, but also help you save money. Yes, you read it right. Since the past few years, certain loan providers and banks have begun a reward system for customers with good scores and good records by providing them loans at a discounted rate.

Plus, your CIBIL Report and CIBIL Score are a good way to document your loan details, so that you know exactly where you stand when you want to apply for a new loan. It is important to regularly check your CIBIL score to monitor your financial health.

How to Check Your Credit Score Online

You can check your credit score online for free on various websites, such as Paisabazaar, CIBIL, and Experian. To check your credit score, you will need to provide some personal and financial information, such as your name, date of birth, PAN number, and address. Once you submit the required information, you will be able to view your credit score and report.

Factors that Affect Your Credit Score

Several factors can affect your credit score, including:

  • Payment history: Late payments, missed payments, and accounts sent to collections can negatively affect your credit score.
  • Credit utilisation: High credit utilisation can negatively affect your credit score, while low credit utilisation can positively affect it.
  • Length of credit history: A longer credit history can positively affect your credit score.
  • Types of credit used: A mix of different types of credit accounts can positively affect your credit score.
  • New credit: Opening too many new credit accounts can negatively affect your credit score.
  • Credit enquiries: Applying for too many credit products in a short period can negatively affect your credit score.
  • Errors on your credit report: Errors on your credit report can negatively affect your credit score.

It’s important to note that your credit score is not the only factor considered by lenders when evaluating your loan or credit card application. Other factors, such as your income, employment history, and debt-to-income ratio, are also considered.

Conclusion

Whatever your goal might be - your dream home, a car, or child's education - you should work diligently towards a good CIBIL Report and CIBIL score. These are the two important steps for achieving your financial milestones.

Disclaimer:
Articles published on the website are merely indicative and suggestive in nature and do not amount to solicitation. The contents do not guarantee the desired returns and/or results. Reader is advised to exercise discretion and consult independent advisors for achieving desired result.

Tags

CIBIL Score
Credit Score

Tags

Reward-Points
Zero-Balance-Savings-Account
Digital-Savings-Account
CIBIL-Score
Credit-Score

Newsletter from RBL Bank

Stay informed with the most impactful business and financial news, along with expert analysis from our team.

Archives:

Home

Home
Login

Login
Payments

Payments
RBL Cares

RBL Cares
More

More
go-to-top

TOP