Let’s take care of your credit history

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Ever wondered why so much emphasis is given on a healthy credit history and why it is considered key to your future financial well being?

Well, if defined briefly, it is a reflection of a borrower’s ability to repay his debts. It is a detailed record of an individual’s financial habits and provides an opportunity to the lender to assess whether the borrowed amount would be returned without any trouble. 

Let us take a quick look on some ways that can help you have a rocking score chart and safeguard your credit history.

Pay off outstanding dues on credit cards:  The facility of credit cards is undoubtedly a blessing as long as you don’t allow the outstanding amount to accumulate month-after-month. Additionally, if you fail to pay the entire bill amount on time, you could land in a debt trap and your monetary situation could worsen soon. Also, you will not only end up paying high-interest rate, but you will also lose the interest-free days on any new purchases. So, we strongly recommend not to carry outstanding dues on the credit cards as it could hit your credit history, making you less eligible for future loans.

Take help of credit repair agencies: When credit history is at stake, it is also advisable to take help of experts who could first handhold you to stabilising the scores and then boost them eventually. The agencies can be a boon for you if you pick and choose them with care and not land yourself in further trouble during the pandemic times by surrendering to fraudulent credit repair agencies.

Avoid moratorium: Understanding that borrowers are struggling with their finances during the pandemic, all banks have offered the facility of moratorium to their respective customers to help them overcome the situation. Apparently, it is a good facility, but we advise you against opting for it. That is because though the moratorium will not affect the credit score negatively, it will continue to accrue interest during this period.

Avoid unnecessary debt: If you’re already struggling with the negative remarks on your credit history, it is advised to avoid getting into unnecessary debt any further. For doing so, you could try skipping or postponing unnecessary loan-oriented purchases, such as investing in a property or buying a laptop at this crucial time and rather try to repay the existing dues. This will help you have a concrete base for a financial future.

Look for misinformation in credit reports: There are chances of misinformation creeping into your credit reports and thus, a keen look at it is essential. The incorrect reporting could be in the form of misspellings, duplicate accounts, incorrect payment statuses, outdated information, incorrect date of first delinquency on a collection account and more. These have the capacity of pulling down your credit scores and eventually your credit history gets marred.


It is important to remember that credit scores are an important aspect that impacts your financial health. They can fetch you better and quicker loans even during the pandemic and post-pandemic days. All it requires is a little effort and a vision that could see through things. So, let us rise to meet uncertain times with hope and resilience.