Cibil Score Tips: Whenever you go to take a home loan, the bank asks you some things. One of these important facts is the CIBIL score. If you have a good CIBIL score, you can take a loan from the bank at a very low interest rate (home loan at a low interest rate).

On the other hand, if your CIBIL score is low, then the bank provides you with a loan at a higher interest rate. Not only the CIBIL score, the bank also takes care of some other things before giving you a loan. Let's know in detail about some important things related to home loans.

Changes in repo rate -

Recently the Reserve Bank of India (RBI new update) has cut the repo rate by 25 basis points. After this decision of RBI, the interest rates of home loans are expected to come down. Banks have reduced the rates of home loans (home loan interest).

However, no official announcement has been made about this yet. It is expected that after RBI reduces the repo rate (new repo rate), the bank can also reduce the home loan interest rate soon. After this, the customers taking the loan will get a lot of relief in paying the installments.

This is why it is important to take a home loan-

If you have also thought about buying a new house (house buying tips) and are thinking of taking a home loan for this house, then this news can be very useful for you. If you are thinking of taking a home loan, then you should wait a bit. Doing this is going to be beneficial for you.

Usually, it takes some time for banks to pass on the benefit of a reduction in interest rate (interest on home loan) to the customers. In such a situation, the bank can announce a reduction in the interest rate in a few weeks. Then later you can be provided a loan at a lower interest rate.

Home loans will be easily available with this high credit score-

If you are also thinking of taking a home loan, then the most important thing for this is your credit score. A credit score reflects your better finance management. The bank determines your loan eligibility based on this.

Generally, whenever you take a home loan, your CIBIL score should be between 650 to 700 (a good range of cibil score). You get a loan in this CIBIL score. On the other hand, if your CIBIL score is 750 or more, then the chances of getting a loan at a lower interest rate increase to a great extent.

These are the possibilities for this CIBIL score-

More than 750 - If your CIBIL score (CIBIL score above 750) is 750 or more, then you get a loan easily. Apart from this, the interest rates are also low.

700 to 749 - If your CIBIL score falls in this range, then the chances of getting a loan (home loan tips) increase. In such a situation, the interest rate may be slightly higher.

650 to 699 - If you have a CIBIL score range of 650 to 699, you get a loan but the loan terms are strict and the interest rate is high.

Less than 650 - In this range of CIBIL score (bad range of CIBIL score), it becomes very difficult to get a loan. The bank can demand a co-applicant or a higher down payment.

1. Adopt ways to improve credit score-

If you improve your credit score (CIBIL score kese sudhary), then you get a loan very easily. To improve your credit score, you can pay EMI and credit card bills on time. Keep your credit card limit usage below 30 percent.

Apart from this, avoid taking multiple loans at the same time. Check for any mistakes in your CIBIL report (how to get CIBIL report for free) and get it corrected. Try to maintain the balance of secured loans like home loans or auto loan and unsecured loans like credit card.

2. Higher down payment will help-

If you take a home loan by making a down payment of 20-30 percent, then due to this the bank gives you the loan very easily. Apart from this, the interest rate is also low.

3. Apply for a loan like this-

If your credit score (CIBIL score) is a little low, then in this situation you can apply for a home loan with your husband or wife or any family member. Due to this, the chances of loan approval also increase to a great extent.

4. Apply for a loan for a longer period-

If you are taking a home loan, then keep the loan period up to 20-25 years. By doing this, the EMI of your loan will be reduced, due to which the bank will have more confidence in your ability to repay the loan.

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