- HOW IT WORKS?
- Credit Score & Report
- Credit Bureaus
Most of us are well aware of the fact that the main motive of Credit Information Companies is to provide assistance to financial institutions and banks to make sure that credit, as well as the loans that are not sanctioned, is a loss. Experian gathers the credit information of individuals and represents it as a credit report to lenders like NBFCs and banks.
The Experian Credit Report is helpful in deciding the creditworthiness of the individuals who have applied for the loan. Therefore it is important to maintain healthy credit reports. The individuals should make sure that there credit report does not have any negative information. There are often few red marks on the credit report. These red marks are just temporary and there are some methods to remove these red marks.
Points To Remember While Improving the Experian Credit Report
Improvement in credit report does not happen suddenly. It requires a systematic and disciplined approach. If you remember these points when you are planning to improve your credit report, then you will surely have a healthy credit report.
1. If a previously closed account is shown on the credit report, then you need to ask Experian about it and see that correct information is updated on the report.
2. In order to improve the credit report, an individual should use their credit cards carefully. If you avoid exceeding the credit limit, you will be able to protect your credit score from getting damaged.
3. It is important to make sure that you have made all your payments on time.
4. It is advisable not to take excessive credit from the bank.
5. You need to make sure that you have not delayed your payments continuously.
6. It is important to check your report on a continuous basis as this will help in reducing the number of mistakes that could happen while displaying the credit information. The individual should see to it that the disputes related to the credit information in the report are resolved without any delay.
7. If you have applied for a credit card or loan, and any of them is rejected, then you should not apply for the same credit card or loan again to another lending institution in a repeated manner.
8. In case of some uncertainties or emergencies like any of the family member’s death or a losing a job, if an individual has missed some of his payments and has not been able to connect with the bank, then the lender has some solutions to help the individual in reducing the burden of making their payments.
9. If an individual has ignored their credit report, it has resulted in lowering their chances of availing new credit when it is really required.
10. Credit Scores ranging from 300 to 900 have been assigned by Experian to the individuals. This score allotment is done on the credit information that is provided to them by the members.
11. Individuals should be alert when their credit score begins to reach 300 because it is a low score.