The credit score or CIBIL score is a 3-digit numeric summary that varies from 300 to 900 based on your credit debit transaction history, past loan, and credit card usage. Financial institutions use your credit score to investigate your prior credit-debit transactions to assess your ability to repay a new loan and your reliability.
The factors that do not affect credit score
If you’re wondering what factors do not affect the CIBIL score, then you are at the right place. You know, many factors determine your credit score, like credit-debit transactions, loan and credit card applications, etc. Some factors do not affect your credit score, which is given below.
Transactions made via debit card
When using your debit card, you are using your savings, which you have in your account, and most importantly, you are not borrowing any funds. So, debit card transactions have no impact on your CIBIL score. Transactions made via credit card are considered for the CIBIL score.
Soft enquiry of credit score
When you check your CIBIL score via the CIBIL score login page, it is termed a soft enquiry, and a soft enquiry does not affect your credit report. But when you apply for a loan or credit card, if the lender checks your CIBIL score, it is termed a hard enquiry, which is counted in your credit report. You can log in to the CIBIL score login page only once a year. If you demand another CIBIL score within the same fiscal year, you must purchase a premium subscription to obtain your credit report.
Variation in your monthly income
Any increment or decrement in the salary does not account for a credit score. Even if your salary suddenly decreases or you lose your job, it does not impact your credit score. When you make any delayed EMIs and credit card bills after your salary variation, this can be accountable for your CIBIL score.
Data of your saving and investment
Even if you have any amount in your saving account or made any investment, these are not considered in your credit report. Only your credit transactions are considered in your credit score.
It does not affect your credit score if you make utility bill payments via your debit card. But if you pay your utility bill via credit or credit card, these transactions will be considered for your credit score.
Financial status of your spouse or any family member
Credit scores are for individual persons. It is not merged with the person you marry. Even if your spouse has a high credit score, you cannot benefit from it in your credit score. You are accountable for your credit transactions.
The educational qualifications do not affect the score, even if you are a graduate, postgraduate, or neither, but the only thing that creates an impact is your credit transactions. If you used your education loan for education, then the education loan will be considered for a CIBIL score. All types of loans, whether education loans, personal loans, home loans, etc., are considered by the CIBIL for the credit score. CIBIL score is affected when you do not pay your loan EMIs on time.
Among the various elements influencing your credit score are credit-debit transactions, loan and credit card applications, and so on. Some of the criteria do not affect your credit score. Now you can plan your transactions without worrying about what will affect your credit score and what will not. You can track down your CIBIL score by using CIBIL score login credentials on the official CIBIL website using your internet connection such as Spectrum cable internet and take necessary steps if improvements are needed.