Do you want to know, How to Build a Credit Score Without a Credit Card?
If you do have not a credit score right now, don’t worry. After this blog reading, you have proper guidance on how to build a credit score even if you do have not a credit card.
In today, you know credit score is most important for everyone. Without a credit score its very less probability to take any type of unsecured loan or credit card. But don’t worry here we found a solution for you.
5 Unique Methods to Build Your Credit Score
Here you will read 5 different ways of improving your credit score, we will also not tell you to take secure credit cards, our methods will be different.
1. Ola Postpaid
Here first method is to use Ola postpaid you might think that how is that possible?
Ola postpaid is shown as a loan in your credit report. So it definitely has an impact on your Cibil score. But why is only Ola postpaid? Why not other similar products, this is because Ola has a very unique data on you. Ola knows whether you have been consistent with your cab ride payments since the time you are using their service. If you miss their payment then your account will get cancelled.
Now they use this unique insight and use a lot of other data points from your SMS, emails, etc and create your profile. A limit is given to every account. It is also given to people who do not have a Cibil score.
If you don’t have a CIBIL score then availing of Ola postpaid could be a very good option for you. Make your payments on time and within 5 to 6 months your credit score will improve, But before taking this limit, be sure that you clear all your dues on time.
2. P2P Loan
If you don’t have a good credit score then many banks will not entertain you. Even if they do, there will be a lot of formalities.
To solve this problem, P2P can be a really good solution. There are at least 10 different platforms in India with varied requirements. There are some platforms that give you a loan without checking your Cibil score. The interest rate will be high but it may still make sense for some people. These are short-term loan with minimum documentation.
So make timely payments for your P2P loan and within 5-6 months your CIBIL score will improve.
3. Loan against mutual funds
There are many people who don’t have credit score but they invest in mutual funds.
This method is applicable to them. Banks will give you a loan against your mutual fund by keeping it as security money. You will get half of your mutual fund amount as loan without any Cibil score.
If you have a mutual fund of Rs 10000, then you will easily get loan of up to Rs 5000. If you timely repay the loan, then your Cibil score will improve.
4. Gold Loan
Many NBFCs don’t check your CIBIL score before giving a gold loan.
One example of this is Shriram City Union Finance. This is because they will keep, your gold as security. You can take loan of up to 50-60% of your gold’s value without any Cibil Score.
So if you have gold worth Rs 50,000 then you can easily get the loan of up to Rs 25-30000.
This method may not work for students or people who have just started earning. But this could work very well for people who have just gotten married or are in their 30s.
5. Instant Personal Loan
You can improve your CIBIL score by taking an instant personal loan.
Many people think that they will not get a personal loan because they don’t have a credit score. But many new-age companies today give loan to many borrowers without looking at their Cibil score. It will be more expensive than a normal loan but if you repay it timely, It will improve your credit score.
So that’s it these were the 6 methods to improve your credit score. I hope now you can build your credit score with these methods. Still any doubt comments down below.