what is credit counselling? How does it help you to increase your credit score?
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what is credit counselling? How does it help you to increase your credit score?
It sounds more like psychiatric counseling. Why you are making it so complicated. There are few rules about maintaining good credit score, just follow them. They clearly mentioned on CIBIL website like:
You can improve your Credit Score by maintaining a good credit history. This will be viewed favorably by lenders and it can be done with 6 simple rules :
- Always pay your dues on time
Late payments are viewed negatively by lenders- Keep your balances low
Always prudent to not use too much credit, control your utilization- Maintain a healthy mix of credit
It is better to have a healthy mix of secured (such as home loan, auto loan) and unsecured loans (such as personal loan, credit cards). Too many unsecured loans may be viewed negatively.- Apply for new credit in moderation
You don’t want to seem Credit Hungry; apply for new credit cautiously- Monitor your co-signed, guaranteed and joint accounts monthly
In co-signed, guaranteed or jointly held accounts, you are held equally liable for missed payments. Your joint holder’s (or the guaranteed individual) negligence could affect your ability to access credit when you need it- Review you credit history frequently throughout the year
Purchase your CIR from time to time to avoid unpleasant surprises in the form of a rejected loan application
Further, there are many good in-depth articles available online, this is not like INCOME TAX rule book which is full of stupid clause, its CREDIT SCORE. You don't need counselor unless you are super lazy and have lots of money to spend.