Doubt about Cibil Score.

[SankeshPai]

Hello Guys,

I have a doubt on CIBIL score. I have 5 cards, few of them are LTF cards which I had applied for sales during flipkart n amazon(like icici and kotak).

I have read that it is necessary that we need to keep on using our credit card, atleast 2-5% of the limit otherwise the CIBIL might get affected. Is it true?
If yes, do i need to use each card, like all 5 cards each month in my case? Do i need to use 2-5% for each of my cards every month or any 1 card will do? And do i need to use it every month?

 

[shashwat]

The way the calculation works is they look at a 3-6 month window and look at how much you could have used and how much you used. If you use 0% on average, it *very slightly* negatively affects your credit score. If you use more than 30% on average, it does negatively affect your credit score. Any thing between 1% and 25% usually positively affects your credit score.

So, it isn't necessary to use every month, and it isn't necessary to use all cards. Just try to use your cards somewhat frequently, and pay off your entire due amount every time. You don't need to worry about your score