Wondering if checking the CIBIL score affects the CIBIL score? Well, the answer is no, it does not. Rather, regularly checking your CIBIL score helps you monitor it, improving the chances of getting your loan approved. Therefore, if you frequently borrow credit, it is crucial to check your CIBIL score regularly. In this blog, we will discuss how checking your credit score often affects you. Read on!
What is Soft Inquiry?

When you check your credit score through the official CIBIL
website, the process is called a soft inquiry. A soft inquiry does not
change your CIBIL score at all. So, by regularly reviewing your credit
report, you can monitor your credit actions.
A soft inquiry occurs
in the following situations:
• When you check your own credit
score
• When an employer or landlord checks your credit
score
• When lenders check your credit before offering
pre-approved credit cards
What is Hard Inquiry?
When you apply for any credit card, car loan or home loan, the
lender requests your credit history before approving your loan or
credit. This process of requesting your credit report is considered a
hard inquiry. It can temporarily lower your CIBIL score by a few
points.
Moreover, if you apply for multiple loans or credit cards
in a short time, the hard inquiries can lower your CIBIL score. It
could result in rejection of your loan, and you may have to wait a few
months before trying again for new credit.
Soft CIBIL Inquiry vs Hard CIBIL Inquiry
The following table highlights the difference between a soft inquiry and a hard inquiry:
Differences |
Soft Inquiry | Hard Inquiry |
Impact on credit score | It doesn’t impact your credit score. | Impacts your credit score |
Reflection in credit report | It doesn’t reflected in the credit report | Reflects on your credit report |
When is it carried out |
For providing pre-approved offers |
Before a loan or credit |
Consent | No consent is required | Written consent is required |
ALSO READ :- Check Your CIBIL Score For Free To Get A Personal Loan
Reasons for Lowering Your CIBIL Score
Here are some crucial reasons that may lead to a lowering in your CIBIL score:
1. Repayment Behaviour
Your
repayment behaviour is one of the most influential factors
affecting your CIBIL score. Timely repayment of all your credit
or loan will help you maintain a
good CIBIL score. On the other hand, any default or missed
payment will negatively affect your CIBIL score.
2. Exceeding Credit limit
A credit
limit is an upper limit on how much you can spend on your provided
credit. It is vital that you adhere to the credit limit. Any
spending more than your credit limit negatively affects your CIBIL score.
3. Unpaid Dues
Always clear your
unpaid dues since it will allow you to plan your finances better.
Any overdue repayment will negatively impact your CIBIL score.
Along with the above-mentioned factors, there are a few other
factors that can affect your CIBIL score negatively. These factors
are paying only the minimum amount due, making multiple credit
applications, errors
in your CIBIL report, and not having a credit mix and credit
history.
The following table indicates the importance of each
factor in determining your CIBIL score.
Percentage |
Factors |
30% |
Payment History |
25% | Credit Exposure |
25% | Credit Type and duration |
20% | Other factors |
Tips to Improve Your CIBIL Score
Improving your CIBIL score is an ongoing process. You can’t improve
your CIBIL score in a day or two. CIBIL score is improved over a
period of time; the longer the credit history, the better it is.
So, how do you improve your CIBIL score?
Improving your CIBIL
score is a straightforward process, and borrowers complicate it with
poor financial habits. You can improve your CIBIL in the following
ways:
1. Regularly check your credit score.
2. Paying
your loan or credit on time.
3. Properly using your
credit.
4. Not taking multiple loans at one time.
5.
Having good financial habits.
To Conclude
Now that you have got the answer of whether checking the CIBIL score affects the CIBIL score, you can feel more confident about monitoring it regularly. This means you can check your score as often as you need without worrying about it having any negative impact on your credit rating. So, go ahead and check your CIBIL score whenever you want to stay informed about your credit health and make informed financial decisions.
Frequently Asked Questions
1. Does checking my CIBIL score affect my credit
rating?
Looking at your credit score might change your
credit rating. If you find mistakes while checking your credit
score, you can report them right away to fix them. Also, if your
credit score is not good, you can take steps to make it better.
2. How Can I minimise the hard inquiries?
To minimise hard inquiries, it is best to steer clear of pending
credit applications and avoid opting for multiple credit applications.
3. How frequently can I monitor my credit
score?
It is a good idea to check your credit score
every month, particularly if you are just starting to use credit. If
you have been managing your credit well for the past few months, you
can check it every 2 to 3 months.