Since most experts believe checking your credit score at least once a year is a good habit, most people are likely to do that. But, doing so doesn’t make sense if you don’t know how to comprehend the details shared in CIBIL report i.e. how to read credit reports. Therefore, below is a small guide on how to read and understand one’s credit report.  

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CIBIL Report is Divided into Four Sections:

• Personal Information Section: As the name suggests, personal information section contains all your personal information such as your name, address, date of birth and gender. This section also includes your passport number, driving license number and other details you might have disclosed while taking a loan.
• Employment Information: Again, as the name suggests, this section comprises of details regarding your employment.
• Account Information: This section is probably the most significant section in credit report. This section has details of all your past and present loan accounts, credit cards you own and everything else.
• Enquiry Section: Last but not least, this section includes information regarding lenders who have made enquiries about you. It contains four columns – the lender’s name, the purpose of enquiry, number and the date on which the enquiry was made.

The aim of checking your CIBIL score every years is to keep an eye on it and get wrong listings corrected before they destroy your credit eligibility. So, if there’s anything wrong mentioned in your credit score which is affecting your loan eligibility, get it corrected.

Additional read: How to Read and Understand your CIBIL Report?