What are the different ways to improve the CIBIL score of an individual?

Personal Loan against CIBIL score is one of the most searched terms when it comes to taking a Personal Loan. Improving a CIBIL score is an ongoing process. You will find various blogs and articles to improve your CIBIL score faster. However, there is no shortcut or faster way to improve your CIBIL score. As a borrower, you must keep the focus on inculcating good financial habits such as tracking your expenses and income, along with your investments. This will help you build good financial habits which later help while taking any credit for additional financial assistance. 

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• Focus on credit utilization – Credit utilisation indicates how much credit an individual utilizes out of the total limit available to him/her. You should not exceed 30% of your credit limit to ensure that your CIBIL score remains healthy.
• Focus on credit mix – Credit mix is a method where you have the balance of different types of credit including a secured and unsecured loan for a long and short tenure. Credit mix allows you to plan your repayment better and helps you to improve your CIBIL score. 
• Avoid applying for frequent credit – When you are trying to improve your CIBIL score, you should avoid applying frequently for credit. Applying for credit frequently will lower your CIBIL score faster. Also, multiple loan request results in multiple hard inquiries which negatively impact your CIBIL score.
• Check your CIBIL score regularly – Checking your CIBIL score regularly is one of the good financial habits that an individual must follow. When you are applying for a Personal Loan, you must know your CIBIL score as it is one of the eligibility criteria that a borrower must fulfil. If you have an eye on your CIBIL score, you can focus on improving the CIBIL score. 
• Make your repayment on time – One of the major factors that influence your CIBIL score is making your repayment on time. A borrower who makes a repayment on time is highly appreciated by the lender. If you want to improve your CIBIL score, you must focus on making all your repayments on time.