CIBIL score plays a critical role in availing affordable and sustainable credit facilities. It is the most crucial factor that determines the creditworthiness of an individual and is used by financial institutions to evaluate their ability to repay loans.
A good CIBIL score can open doors to lower interest rates, faster loan approvals and higher credit limits. In this article, we will look at the importance of CIBIL score in EMI approval, with a focus on Symphony Products.
Symphony Limited, popularly known as Symphony Air Coolers, is a leader in the air cooler industry. The company offers a range of high-quality air coolers that cater to the diverse needs of Indian consumers. Symphony air coolers are known for their superior cooling technology, energy efficiency and durability. The company has a strong presence in both urban and rural markets and has a wide distribution network across India.
Symphony Products EMI Option
Symphony products can be bought on easy, No Cost EMI with the Bajaj Finserv Insta EMI Card. The Insta EMI card offers a pre-approved loan amount of Rs. 3 lakh for cardholders. It also allows users to make purchases online or in-store and convert the payment into interest-free EMIs (Equated Monthly Installments). Users can avail the pre-approved amount and payback in easy monthly installments, without paying any interest amount.
Importance of CIBIL Score in EMI Approval
The CIBIL score is a three-digit number ranging from 300 to 900 that represents an individual's credit history and repayment behavior. A high CIBIL score indicates a good credit history and increases the chances of loan approval. On the other hand, a low CIBIL score implies a poor credit history and can lead to loan rejection or higher interest rates.
Lenders use the CIBIL score as an indicator of an individual's likelihood to repay the loan. A high CIBIL score implies that the borrower is creditworthy and has a history of timely repayment of loans. This gives lenders the confidence to lend money to the borrower. Similarly, a low CIBIL score indicates a high risk, making lenders hesitant to lend money and, if they do, at a higher interest rate.
In the case of Symphony Products, the company has tie-ups with various banks and financial institutions offering EMI options. These financial institutions use the borrower's credit score as one of the primary factors while evaluating their loan application. Therefore, a good credit score is crucial for availing the EMI option for Symphony air coolers.
How to Check Your CIBIL Score
Checking your CIBIL score is easy and can be done online through the CIBIL website. Follow the below steps to check your CIBIL score:
1. Visit the CIBIL website at www.cibil.com.
2. Click on 'Get Your CIBIL Score.'
3. Fill in the required details, such as name, date of birth, and PAN number.
4. Verify your identity through the verification process.
5. Make the payment of Rs. 550 to generate your CIBIL score report.
The CIBIL score report provides a detailed analysis of an individual's credit history, including credit accounts, repayment behavior, credit utilization, and loan inquiries. It also provides recommendations on how to improve the score.
Improving Your CIBIL Score
It is essential to maintain a good CIBIL score to avail of affordable credit options. A high CIBIL score not only increases the chances of loan approval but also lowers the interest rates and fees associated with the loan. Therefore, here are some tips to improve your CIBIL score:
1. Pay your bills on time: Late payments have a negative impact on the CIBIL score. It is essential to pay the bills on time, including credit card bills, loans, and other outstanding payments.
2. Keep credit utilization low: Keep the credit utilization ratio low, i.e., do not use more than 30% of your credit limit.
3. Maintain a healthy credit mix: Maintain a healthy mix of secured and unsecured credit, such as loans, credit cards, and other credit facilities.
4. Check your credit report regularly: Check your credit report regularly to ensure that the information is correct and up-to-date.
Conclusion
In conclusion, a good CIBIL score is crucial for availing the EMI option for Symphony Products. Therefore, it is essential to maintain a good credit score by being responsible with credit repayments, keeping credit utilization low, and maintaining a healthy credit mix. A high CIBIL score not only increases the chances of loan approval but also lowers the interest rates and fees associated with the loan, making it affordable and sustainable.