10 min read
debtintermediateYour credit score affects loan interest rates, credit card approvals, and rental applications. This guide shows you how to improve your score from 650 to 750+ in 6-12 months.
Step-by-Step Guide
1
Check Your Current Score
Know your starting point before improving.
Action Items:
- ✓Get free CIBIL score report (once per year)
- ✓Check for errors or fraudulent accounts
- ✓Note current score and factors affecting it
2
Pay All EMIs On Time
Payment history is 35% of your score. Never miss EMI deadlines.
Action Items:
- ✓Set up auto-debit for all loans
- ✓Enable EMI reminders in Expenie
- ✓Maintain buffer amount in bank account
- ✓Pay 2-3 days before due date for safety
💡 Pro Tip:
One missed EMI can drop score by 50-100 points.
3
Reduce Credit Card Utilization Below 30%
Using >50% of credit limit hurts score. Keep utilization under 30%.
Action Items:
- ✓Calculate current utilization (balance ÷ limit × 100)
- ✓Pay down balances to below 30% of limit
- ✓Request credit limit increase (lowers utilization)
- ✓Avoid closing old credit cards (reduces available credit)
Conclusion
Improving credit score takes 6-12 months of discipline. Track all EMI payments in Expenie to never miss deadlines.
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