The credit report is to be made available at zero cost to the individual once in a period from January to December.
Every individual who has a credit history is entitled to get a free credit report from any one or more of the credit bureau companies in the country. You can get the free credit report online by visiting the websites of any of these CICs. You will need to provide your date of birth, address, PAN or Aadhaar number, identity proof etc.
A credit report has its own advantages especially if you are looking to get a loan. Your repaying capabilities and the track record of paying EMI on loans taken earlier gets reflected in your credit profile and the credit score. The credit score plays a critical role in the loan application process as the lender first checks the credit score of the loan applicant. If the credit score is low, the lender may not even consider the application further and reject it at that point.
Else, if the credit score is high, the lender will look into the application and consider other details to determine if the applicant is credit-worthy. The higher the score, the better are your chances of the loan being reviewed and approved.
The credit score is anywhere between 300 and 900 and the closer it is to 900, it is considered to be high. You should carefully go through the credit report to see if there are any loans that are outstanding in your name which you may have not availed or have closed the same. In such a case, you should approach the lender and the credit bureau to rectify the error which ideally takes a few months to get updated.