How to Improve Your Credit Score Before Applying for a Home Loan
One of the most important factors for home loan approval is your credit score (CIBIL score). Banks use this 3-digit number (300–900) to decide if you are trustworthy for a loan.
- A score above 750 = Better interest rates + faster approvals
- A score below 700 = Risk of rejection or higher interest
👉 The good news? You can improve your credit score before applying. Mortbuzz helps you build a strong profile to get the best loan offers.
✅ Best Tips to Improve Your Credit Score
1. Pay All Bills & EMIs on Time
- Late payments are the biggest reason for a low score.
- Always pay credit card bills and EMIs before the due date.
2. Keep Credit Utilization Below 30%
- If your card limit is ₹1,00,000, avoid spending more than ₹30,000.
- High usage → banks think you are credit-hungry.
3. Don’t Close Old Credit Cards
- Long credit history = higher trust.
- Keep older cards active with small monthly usage.
4. Avoid Multiple Loan Applications
- Every time you apply, banks do a hard inquiry, which reduces your score.
- Apply smartly through Mortbuzz, where we match you with suitable lenders.
5. Diversify Credit Mix
- Having both secured loans (home, car) and unsecured loans (credit card, personal loan) helps balance your profile.
6. Clear Outstanding Dues
- Even a small unpaid credit card balance can hurt your score.
- Settle dues or convert them into EMI plans.
7. Check Your Credit Report Regularly
- Sometimes errors (wrong entries, duplicate loans) lower your score.
- You can raise a dispute to correct them.
📊 Example of Credit Score Impact
| Credit Score | Home Loan Chances | Interest Rate |
|---|---|---|
| 750+ | Very High | Lowest Rates |
| 700–749 | Medium | Slightly Higher |
| Below 700 | Low | Rejection/High |
🚀 Why Mortbuzz for Home Loans?
At Mortbuzz.in, we:
- Check your credit score & report issues
- Suggest ways to boost your score
- Connect you with banks that fit your profile
- Offer cashback on processing charges & fees
👉 With Mortbuzz, you don’t just apply — you apply smartly and save money.
Conclusion
Improving your credit score before applying for a home loan is the smartest way to get higher loan approval chances and lower EMIs.
💡 Ready to check your eligibility and get expert guidance? Visit Mortbuzz.in today and take the first step toward your dream home.