Credit score · 5 min read ·
Five habits that improve your credit score
Small, steady habits do more for your score than any quick fix. Start with these five.
Pay every bill on time
Payment history has the biggest effect on your score. Set up auto-debit for every EMI so a busy month never becomes a missed payment.
Keep your EMIs affordable
Lenders look at how much of your income already goes to EMIs. Keeping total EMIs under about 40% of take-home pay helps both your score and future approvals.
Build a longer history
A long record of loans repaid on time counts in your favour. Avoid closing accounts early just to tidy up your report.
Space out applications
Each formal application leads to a hard enquiry. Compare offers first, then apply only where you are likely to be approved.
Check your report for errors
Look for accounts you do not recognise or payments wrongly marked late. You can raise a dispute with the credit bureau to have them corrected.