Transunion CIBIL

TransUnion CIBIL, the Credit Information Bureau operating in India, has made the due diligence ordeal simpler for financial institutions. In addition, TransUnion CIBIL maintains credit information of over 600 million individuals, which is made available in the form of a Credit Report. Based on the TransUnion CIBIL Score, financial institutions gauge the creditworthiness and repayment behavior of the customer.


What is CIBIL Score?

CIBIL score, also known as Credit Information Bureau (India) Limited score, is a three-digit number that ranges from 300 to 900. It is a measure of an individual's creditworthiness and is used by financial institutions to determine the credit risk associated with lending money to that person.

Here are some key points to help explain the meaning of CIBIL score:

  • CIBIL score is a three-digit numerical summary of an individual's credit history in India. 
  • It is calculated by TransUnion CIBIL, one of the four credit information companies licensed by the Reserve Bank of India.
  • The score ranges from 300 to 900, with a higher score indicating a better credit history and a lower risk of defaulting on credit payments.
  • Banks and other lending institutions use CIBIL scores to evaluate an individual's creditworthiness while deciding whether to approve a loan or credit application.
  • CIBIL score is based on an individual's credit behavior and repayment history across various loans and credit facilities over time.
  • A poor credit history or low CIBIL score can result in a loan application being rejected or approved at a higher rate of interest.
  • It is important to regularly check one's CIBIL score to ensure that it is accurate and reflects one's true credit history.
  • Individuals can check CIBIL score through the official website of TransUnion CIBIL or through various partner websites that offer this service.

A CIBIL score can range from 300 to 900, with a score of 750 or above considered to be good. A score of 600 or below is considered to be poor and may make it difficult for an individual to qualify for a loan or credit card.

Additional Read : CIBIL Full Form

What is TransUnion CIBIL?

TransUnion CIBIL is a Credit Information Bureau operating in India. This is the first Credit Information Bureau that was established on the recommendations of the Reserve Bank of India. The other Credit Information Bureaus established subsequently are Equifax, Experian and CRIF.

Every bank/NBFC and Insurance Company is by default the member of TransUnion CIBIL and provides information about the credit profile of the customers once a month. TransUnion CIBIL has credit information of over 600 million individuals from over 32 million Companies. With the credit information, individual credit reports are compiled. The credit report comprises personal details like name, email id, contact address, PAN, employment details, loan payment history, the number of loans, type of loans, loans past due, credit utilisation limit, and a number of loans and credit card enquiries made.

TransUnion CIBIL Score is then awarded based on the individual's creditworthiness, financial capacity and repayment behaviour. The CIBIL Score TransUnion ranges from 300 to 900, wherein 300 is the lowest score, and 900 is the highest score. A CIBIL score ranging from 750 to 900 is considered a good CIBIL Score range and will spike up the chances of loan approval.

Additional Read : CIBIL Dispute

How to Check TransUnion CIBIL Score Free?

TransUnion CIBIL Score certifies your creditworthiness and repayment responsibility. It is a mandatory requirement when you approach the lender for any loan or credit card. Reviewing your CIBIL score periodically is essential to maintain a good credit score. There are certain additions that can happen to your credit report without your knowledge which may hamper your credit score. To check for the accuracy of information and detection of fraudulent transactions and identity theft, credit monitoring through TransUnion CIBIL Score review is important.

Is there a way to check free CIBIL ScoreAs per RBI guidelines, all Credit Bureaus have to provide one free Credit Report in a year. So you can avail yourself of the TransUnion CIBIL Score free facility once a year. To check free credit score, you will have to follow the procedure given below:

  • Access the official website of CIBIL.
  • Click on the 'Generate Free Credit Report' on the extreme top corner to the right of the screen.
  • You will be navigated to a simple application wherein you will have to give your name, contact address, date of birth, email ID, PAN or any other government identity card number.
  • Within no time, your credit report, along with a credit score, will be displayed on the screen.
  • You can download the free CIBIL Report.

With TransUnion CIBIL Login, you can get a free Credit Report. Else, some of the lenders provide the option to check CIBIL Report and CIBIL Score for free on their official websites.

Additional Reading: How to check cibil score by pan card?

How is the CIBIL Score Calculated by Transunion?

Nowadays, no lender approves a loan or credit card application without checking the CIBIL Score and TransUnion CIBIL Report. How does TransUnion CIBIL calculate the Credit Score? Read further to understand how to calculate cibil score.

All Credit Bureaus have their proprietary algorithm to calculate the Credit Score. TransUnion CIBIL also calculates the CIBIL score through a special mathematical algorithm and allocates a score which is a three-digit number ranging from 300 to 900. The closer the score is to 900, the better are the chances of loan approval. The higher the score, the better are the deals. This score is based on the credit information TransUnion CIBIL receives from various financial institutions periodically, i.e., once in 30 days. The score is mainly dependant on the payment history, the duration of credit history, the credit mix, credit utilisation, and credit enquiries. Every attribute gets a percentage of the score as given below:

  • Credit history: This attribute carries 30% weightage in your TransUnion CIBIL score calculation. The credit rating agency checks the past repayment history of the individual by compiling the data gathered from all financial institutions. Any delay or default in instalments payments can drastically impact your overall credit score.
  • Credit utilisation ratio: Carrying a weightage of 25%, your credit utilisation ratio (CUR) reflects the total amount you have used against your credit limit. You should try to maintain a CUR below 10% if it is viable, to get a high TransUnion CIBIL score.
  • Credit mix: This attribute holds 25% weightage in CIBIL score calculation. There should be a good balance between the secured and unsecured loans in your credit portfolio. A healthy credit mix shows that you can manage all kinds of debt efficiently.
  • New credit enquiries: This factor has a 10% weightage. When you apply for a credit, the lender makes enquiries about your credit report from CIBIL. These attempts to check your credit report usually get registered in your credit report as hard enquiries. Too many hard enquiries within a short period can make you look credit-hungry and significantly reduce your TransUnion CIBIL score.
  • Average of loan account: This parameter holds 10% weightage in TransUnion CIBIL score calculation. The credit agency also looks for the average age of all your debt accounts when assessing your credit report. For this reason, you must not close your loan accounts even if they are not active for a long time. 

The Credit Score not only impacts the credit decision but also on the terms and conditions that are associated with the loan, like the interest on the loan, quantum of loan and the loan tenure. The higher the score, the more confidence the lender will have in your repayment capacity and financial worth. So it is of prime importance to maintain a healthy score if you want to reap the benefits of a good deal.

Additional Reading: Credit rating agencies in India

How is the TransUnion CIBIL Report Calculated?

CIBIL score is calculated by TransUnion CIBIL based on your payment history, credit exposure, credit type and duration, and other factors. It ranges from 300 to 900. TransUnion CIBIL follows the FICO scoring model while calculating your CIBIL score. It means that the eponymous credit bureau takes a look at certain things about your credit behaviour and then adds a weightage to each one of them. The basis of the information is sourced from banking and financial institutions. The weightage percentage that TransUnion CIBIL assigns to every aspect of your credit behaviour is mentioned above.

How to Improve Your TransUnion CIBIL Score?

Follow the tips given below to improve your CIBIL score:

  • Repay your dues timely: Make sure you pay your credit dues on time. Making late payments or defaulting payments can badly affect your CIBIL score.
  • Keep your CUR in control: If you keep spending more than 50% of your credit limit every month, lenders will feel you cannot manage your finances well. Limit your expenses and make sure you spend around 30% of your credit limit a month to maintain a good CIBIL score.
  • Track your credit report: Keep track of your credit report regularly. You may have errors in your credit report. If so, report it immediately and get it rectified. 
  • Do not apply for credit cards constantly: Although credit cards are quite helpful in building a credit history, having too many credit cards can make you look like a counterproductive person.
  • Increase your credit limit: Increasing your credit limit can lower your credit utilisation ratio instantly, making your CIBIL reports better.

What is the Importance of TransUnion CIBIL Score?

Before approving the applicant’s loan application, the most crucial parameter considered by lenders is your CIBIL score. A credit score shows the creditworthiness of applicants, allowing lenders to assess whether they are risky borrowers or not. Hence, your chances of getting a loan approval majorly depend on your TransUnion CIBIL score. For most lenders, a CIBIL score of 750 or above is considered ideal in India. If you have a score below 750, you may face difficulty or even rejection in obtaining a credit. Even if some lenders approve your loan application with a poor credit score, the rate of interest on such a credit would be on the higher side. For these reasons, it is crucial to check your CIBIL score regularly. You can check your TransUnion CIBIL score free once a year through CIBIL’s website.

Credit Score Features by Transunion

Credit Score by TransUnion mainly depicts the following:

  • Repayment track of the individual, i.e., the commitment of the individual towards past and existing debt obligations.
  • The credit exposure, i.e., the overall existing liability.
  • The duration of the credit history - The longer the duration of the credit history, the better will be the score. Keeping earlier loans open with a good payment track can work wonders with the score.
  • Type of credit, i.e., the number of secured and unsecured loans availed. If your credit history comprises a higher number of personal loans and credit cards, it can have a negative impact on the score. A good balance between secured and unsecured loans is a positive feature.
  • Credit Utilisation: A credit limit utilised moderately will have a positive impact on the credit score. Limiting your credit limit utilisation to less than 50% is a good practice.
  • Loan enquiries: Enquiries for loans and credit cards done frequently can bring down your credit score drastically as it poses you as credit hungry.

All these aspects are given a weightage, and the Credit Score is drawn. A score between 750 to 900 is the ideal score to have and will fetch you a loan with better deals.

Additional Reading: How to check cibil defaulters list?

How to Contact Transunion?

In case of any query, request, feedback or complaint regarding your CIBIL score, you can contact CIBIL through any of the following ways:

Contact numbers: 91-22-6140 4300/ 91-22-6638 4600

Address: TransUnion CIBIL Limited, One World Centre, Tower 2A, 19th Floor, Senapati Bapat Marg, Elphinstone Road, Mumbai - 400013

Email: nodalofficer@transunion.com

Additional Read : How To Improve CIBIL Score

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Is CIBIL part of TransUnion?


TransUnion CIBIL is Credit Information Bureau operating in India and is a part of TransUnion, an American Corporate Company.

How can I download my CIBIL report from TransUnion?


You can download your CIBIL report from TransUnion by logging in to the official website of CIBIL and following the steps given below. 

  • Once you access the website and click on Generate Credit Report, a simple application will pop up.
  •  You will have to fill in the application with details like name, address, PAN or any other Government ID number, and date of birth. 
  • After completing the application, click on the Generate Report button. You will be navigated to the payment gateway, and on making the payment, you will be able to download the CIBIL report.

How can I remove CIBIL write off?


To remove the write off tag from CIBIL, you will have to pay up the settlement amount and get a NOC from the lender. You should then raise a dispute providing the proof of settlement, i.e., NOC from the lender. CIBIL will get confirmation from the lender and will then remove the write off tag from CIBIL and change it to 'Account Closed.' 

Which CIBIL score is accurate?


Lenders find TransUnion CIBIL Score the most reliable. However, some of them rely on the score of Experian as well.

How can I check my CIBIL status?


You can check the CIBIL status by logging in to the official website of CIBIL. You will have to provide some personal details like name, address, mobile number, date of birth and PAN and click on the submit button. The CIBIL Score will be displayed on the screen.

Is TransUnion a good company?


Considering the length of existence, most of the lenders consider the efficacy of the TransUnion Score as the best.

Is TransUnion private?


TransUnion was TransUnion Holding Company.Inc formerly went Public in the year 2015 and started offering services to both consumers and businesses.

What is the TransUnion Flex?


TransUnion Flex is the flexible partnership collaboration model that comprises protection of identity, credit management and imparting financial education.

How does Transunion CIBIL score affect individual borrowers?


TransUnion CIBIL assigns a credit score based on the credit history of the customer. The score ranges from 300 to 900 based on which the risk rating is done. The different credit score range that rates the risk attached is as given below:

300 to 599: Poor Score. An individual with this score range is considered as a borrower with the highest risk of default, and lenders reject the loan application out rightly.

600 to 699: Fair Score. Individuals with this score range are considered as a borrower with a high risk of default. Some of the lenders may consider a loan application with this score for secured loans. However, the quantum of loans will be much lower and the rate of interest higher. You may get a secured loan, but it will not be a good offer.

700 to 749: Good Score. The lenders will consider the income and employment stability for individuals along with the score. They will also look minutely into the reasons due to which the score has reduced. The loan, even if approved, will have a higher interest rate.

750 to 900: Excellent Score. The lenders vest the utmost confidence in the individuals with this score as far as the repayment of the loan within the stipulated time. The loan will be approved without any hitch and will also be with better offers like lowest interest rates, higher loan amount/credit limit, longer repayment tenure and will also have the power to negotiate other terms and conditions as well.

To maintain the highest score to grab the best offers.

What is a good CIBIL TransUnion score?


A credit score of 750 to 900 is considered an excellent CIBIL TransUnion score.

What role does the TransUnion CIBIL score play in the lending process?


The TransUnion CIBIL score effectively predicts whether a potential borrower is likely to default on credit repayment or not. The score considers all the borrower's credits, secured and unsecured, enabling lenders to better manage risk, minimize losses and increase profitability. Hence, a higher score can get you instant loan approval at better rates.

What are the reasons behind a low TransUnion CIBIL score?

  • A late payment was reported
  • You have a high balance on your credit cards
  • You either closed a credit card account or paid off a loan
  • You paid off an instalment loan
  • You recently applied for fresh credit
  • You are the victim of identity theft