The documents required for generating a CIBIL credit report are:
Valid Identity Proof – PAN or Passport or Voter’s ID
- Repayment History.
- Credit Utilization Rate.
- Loan Settlement.
- Credit Mix.
- Credit Application(s)
- Being A Guarantor On Loans.
- Number Of Accounts.
- Negative Information.
What Is CIBIL Report?
A CIBIL report contains detailed information on the credit you have taken, like home loan, car loan, overdraft facilities, credit card, personal loan, etc. It will mention your repayment history of the money borrowed over a period of time.
Credit scores – the three-digit numeric summary of your credit history, ranging from 300 to 900 – are derived on the basis of what is listed in the credit report.
Importance of A CIBIL Report
A CIBIL credit report is a highly valued report for the following reasons:
- It helps lending institutions assess your creditworthiness.
- Banks and other financial institutions extend loans based on what is in the CIBIL credit report. A good CIBIL score will make it easier for you to avail loans from banks.
- Regularly analyzing the CIBIL credit report helps inculcate financial discipline, which in turn steers you clear from falling into any debt trap.
- A CIBIL score that is over 750 provides you leverage while negotiating interest rates.
How to Read A CIBIL Report?
A CIBIL credit report comprises of various sections that offer detailed information about your credit history and score. The components of a CIBIL report are:
- CIBIL Score – Your three-digit CIBIL score is calculated on the basis of your credit behaviour, as reflected in the ‘Accounts’ and ‘Enquiries’ section of your CIBIL report.
- Personal Information – This section contains your name, gender, date of birth and identification numbers, like PAN, passport number and voter’s number.
- Contact Information – This section will mention your address and telephone number(s). Up to 4 addresses can be mentioned.
- Employment Information – This section contains the monthly or annual income details, as reported by the members (banks and financial institutions).
- Account Information – This section comprises of the details of your credit facilities like name of the lending institutions, kind of credit facilities (personal, home, overdraft, etc.), account numbers, date opened, date of last payment, loan amount, ownership details, current balance and a month-on-month record of your payments.
- Enquiry Information – Every time you apply for a loan or credit card, the respective financial institution will access your CIBIL credit report. These enquiries get listed in the report and will contain the vendor’s name, type of credit, amount of credit applied and date of application.
Types Of CIBIL Credit Reports
CIBIL generates two kinds of credit reports – Credit Information Report and Company Credit Report.
- Credit Information Report – A credit information report is generated for individuals and contains details about past credit behaviour, and a statistically derived CIBIL score.
- CIBIL Company Credit Report – A CIBIL company credit report contains the credit payment history of a company, which is compiled from the information provided by various credit institutions. The purpose of a company credit report is to help lending institutions make informed credit decisions, both quickly and objectively.