Want to be the proud owner of an SBI Credit Card. Do you have a credit score of 750 and above? Understand the minimum CIBIL score required for SBI Credit Card before applying for the card. With the perfect SBI CIBIL score, you can get access to some of the SBI Premium Credit Cards.
What is Credit Score? This is what you need to understand primarily. This is the score given by Credit Bureau that collates the credit information about customers received periodically from various financial institutions. The score ranges from 300 to 900 depending on the repayment track, number of existing loans, type of loans and the loan amount and credit card dues. The closer the score is to 900, the more creditworthy you will be considered.
SBI gauges the financial stability and creditworthiness of the prospective credit card customer based on the credit score given by the Credit Rating Agency TransUnion CIBIL. The minimum CIBIL Score for SBI Credit Card is 750 and above.
Credit Cards have gained a lot of popularity in recent times. It is a great source of easy credit and, if judiciously used, can help in upgrading the CIBIL Score. For individuals with no credit score, Credit Cards can be an easy solution to create a CIBIL Score in order to gain access to any credit in the future.
The banks of late have become cautious of defaulting borrowers and so will carry out an extensive background check before approving a credit card application. SBI Credit Card eligibility CIBIL Score is one such background checking medium which will reflect the financial health and repayment history of the applicant.
The SBI Credit Card CIBIL Score stipulated is 750 and above. It will be very difficult for customers with a CIBIL Score of less than 750 to procure a SBI Credit Card as the proposal will be rejected at the CIBIL verification level itself.
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Having a good SBI Card CIBIL Score is essential while applying for a credit card. SBI looks forward to issuing credit cards to customers whose repayment track is good. But how does the Bank judge the repayment capacity and the past credit history of the prospective credit card customer? It is here that the SBI Credit Card CIBIL Score and the credit report play a very important role. It gives a clear picture of the customer’s credit profile, financial discipline and creditworthiness.
An SBI Card CIBIL Score of 750 and above is considered good, and the customers with a good score can wade through the initial background verification easily and will also have several other benefits to getting an SBI Card. With a good CIBIL Score, the customer can get the following benefits:
A credit card is a great way to boost up your credit score. There is a 20% weightage for credit utilization ratio. You can enhance the credit score with the help of a credit card as follows:
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CIBIL Score has a great impact on a credit decision. To be eligible for SBI Credit Card, the applicant should meet the minimum CIBIL Score for SBI Credit Card criteria. The minimum CIBIL score required for SBI Credit Card is 750 and above. Candidates with a CIBIL Score of 750 and above carry a reputation of being disciplined in financial management and repayment of loans. Their creditworthiness and credit profile are also represented by the CIBIL Score.
SBI does the first round of background verification with the help of the CIBIL Score and only if the CIBIL Score is 750 and above. Otherwise, the loan application will be rejected. But SBI Credit Card application is backed by Fixed Deposits, then the Credit Card will be issued but only with a limit proportionate to the value of the Fixed Deposit.
Since CIBIL Score has a great impact on the SBI Credit Card approval, it is imperative to manage a good credit score. If your credit score is below the SBI Credit Card CIBIL Score required level, here are some tips for how to improve CIBIL Score to boost your score before you apply for the SBI Credit Card.
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Being equipped with the CIBIL Score before applying for an SBI Credit Card will spare you the embarrassment of rejection. If the CIBIL Score is below the minimum CIBIL score required for SBI Credit Card, you can set right some of the issues that are reasons for the low score and approach the bank when the SBI Credit Card CIBIL Score is attained.
As per the guidelines of RBI, every individual is entitled to a free Credit Report once a year. So you can visit the official website of TransUnion CIBIL and generate and check CIBIL Score by PAN Card by following some simple steps. The Credit Report will have the details of your credit history along with the CIBIL Score.
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CIBIL Score calculation is done by Credit Bureau like TransUnion CIBIL based on the credit history of individuals as provided by the various financial institutions. The report is made of four factors, i.e., payment history, the ratio of credit utilisation, type of credit with duration and other factors like loan enquiries. Each of these factors will be given a weightage based on the nature of performance.
SBI generates a CIBIL Report the moment the loan application is considered for appraisal. If the CIBIL Score is the required SBI Credit Card eligibility CIBIL Score, the creditworthiness and financial discipline of the candidate will be proved, and the credit card request will be approved if all the other eligibility criteria are met.
If the credit score is below the SBI Credit Card CIBIL Score, then SBI will scrutinize the report to ascertain the reasons for the low score. The report will contain details of the date of the loan, the date of maturity, types of loans, credit utilisation ratio, loan enquiries, the status of the loans, dues past date, etc. On checking the credit report, SBI will draw an inference and, if convinced that the proposal can be accommodated, will issue an SBI Credit Card with a low score. But the rate of interest will be higher, and the credit limit will be lower.
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Any salaried or self-employed individual/professional will be eligible for an SBI Credit Card if they comply with the following eligibility criteria.
Financial health is the main concern of the bank to ensure prompt repayment. SBI will do a thorough scrutiny of financial health. There is a minimum income criterion stipulated for every card type. For premium credit cards, the minimum salary requirement will be higher. The minimum income required to be able to procure an SBI Credit is between Rs. 20000/- to Rs. 60000/- depending on the type of credit card.
Students who have availed Education Loan from SBI are entitled to SBI Student Plus Advantage Card. This SBI Credit Card will be provided against a fixed deposit and without a joining fee and renewal fee.
Other students can also apply for a Credit Card if they can prove they have a regular source of income sufficient to repay the credit card dues. Alternatively, then can avail of the Credit Card against Fixed Deposits of a minimum of Rs.25000/-
The advantage of the student credit card is that it helps in creating a credit history that will be helpful to gain access to other types of credits in the future.
The salary limit stipulated varies with the type of SBI Credit Card chosen. There are Elite credit cards with multiple offers and advantages that will have a higher salary limit stipulation. The salary limit will range between Rs. 20000 to Rs. 60000/- depending on the type of Credit Card.
CIBIL Score is the sole financial tool to gauge the financial health and repayment track of the customer. In the absence of a CIBIL Score, it will be difficult for the bank to assess the creditworthiness and the financial management acumen of the customer.
You can, however, get a credit card against a fixed deposit of a minimum of Rs. 25000/- which you can use to build a credit history.