Why Is My CIBIL Score Falling Even After Timely Payments?

[Tirth2202]

I have an FD-backed credit card for the past 4–5 months. I always pay the bill before the due date, but my CIBIL score has decreased. I got this card to improve my credit score. Could you please explain why this might be happening?

 

[GURUWALKE]

I have an FD-backed credit card for the past 4–5 months. I always pay the bill before the due date, but my CIBIL score has decreased. I got this card to improve my credit score. Could you please explain why this might be happening?

U have to share complete cibil report to check why it is dropped

 

[Tirth2202]

U have to share complete cibil report to check why it is dropped

How to get tha report ?

 

[Spartan]

How to get tha report ?

Go to ***********.cibil.com/ website create your account with PAN linked Mobile number. You get 1 CIBIL Report for free every year. This Free report should have your credit history.

Another way is when you check your credit score from any of the apps (OneScore, CRED, GPay, PhonePay, Paytm, Jupiter Bank App), you can sometimes get a PDF of your credit report emailed to you from Credit Agencies Link CIBIL, Experion, etc

 

[sherin.real1]

I have an FD-backed credit card for the past 4–5 months. I always pay the bill before the due date, but my CIBIL score has decreased. I got this card to improve my credit score. Could you please explain why this might be happening?

How old is your credit history? And are you using under 30% of the credit limit?

 

[Tirth2202]

How old is your credit history? And are you using under 30% of the credit limit?

My credit history not even 6 month old and yes I guess I used 30% limit 1-2 times

 

[sherin.real1]

My credit history not even 6 month old and yes I guess I used 30% limit 1-2 times

It may take 6 months to an year to stabilize the score since you are new to credit bureau. Try to keep the usage under 30% or even i would say as low as possible, i kept my utilisation around 12% back then. And keep paying bills on time, don't apply for new credit card or loans till 6 to 8 months. If you get any pre-approved credit card offer from Bank then ensure it won't trigger a Hard Cibil Enquiry before accepting the offer.

 

[Tirth2202]

It may take 6 months to a year to stabilize the score since you are new to credit bureau. Try to keep the usage under 30% or even i would say as low as possible, i kept my utilisation around 12% back then. And keep paying bills on time, don't apply for new credit card or loans till 6 to 8 months. If you get any pre-approved credit card offer from Bank then ensure it won't trigger a Hard Cibil Enquiry before accepting the offer.

Ok so now my move is don’t use credit card after 12% usase and don’t do any new loan and credit card quary ?

My last question is what’s the right time to pay bill I always pay bill before bill ganrate it’s a right or wrong

 

[sherin.real1]

Ok so now my move is don’t use credit card after 12% usase and don’t do any new loan and credit card quary ?

My last question is what’s the right time to pay bill I always pay bill before bill ganrate it’s a right or wrong

If you spent more than 30% for some reason, then pay some amount before the bill is generated, and bring the utilization under 30% or less (so that you are safe with the utilization ratio). Also there is no point in paying the full amount before the bill is generated if the utilization is under the % I mentioned earlier.
Let the bank see that you are a responsible customer who uses the limit as needed, but pays and brings the utilization ratio under 30% or less. This will encourage banks to offer you a credit limit enhancement (works mostly for unsecured cards, and not for all secured cards, though Kotak 811 secured card gives credit limit enhancement without creating new FDs, as I got credit limit enhancement after 1.4 years of using Kotak 811 #Dream Different CC).