![]() On the other hand, the two are fundamentally similar in important ways:īoth employ a number to express the level of risk a lender faces in loaning to your business.īoth are used by lenders to decide whether and how much to loan and how much interest to charge.īoth are largely based on prior credit use and payment history. When other businesses are deciding whether to sell products, materials and services to your business, they may use your business credit score to help determine the terms they’ll offer. In addition to being used by lenders, business credit scores are also used by vendors and suppliers to set terms of trade credit. The most common is 0 to 100, with anything over 75 generally considered a good score. Business credit scores are public and reflect fewer variables than a personal credit score.Īnother difference is that business credit scores use different ranges. For example, agencies use an employer identification number for a business credit score rather than a Social Security number. There are important differences between your business credit score and your personal credit score. Here’s how they’re calculated and how to improve yours. ![]() It’s based on a company’s use of credit and payment history, as well as other factors, including business revenues, assets and industry. Ltd. Consumer Services Equinox Business Park, Tower 3, 5th Floor, East Wing, LBS Marg, Kurla (West), Mumbai 400070.A business credit score, which is distinct from a personal credit score, is a number that lenders and suppliers use to determine the availability and pricing of loans and other forms of credit for a firm. Experian Credit Information Company India Pvt.Step 6: Finally, send the form along with the required documents and payment proof to the following address by post or courier:.Step 5: Pay the required fee of ₹138 for your Experian CIR through either NEFT or enclose a demand draft.Step 4: Also add a self-attested photocopy of your address proof documents, such as your telephone bill, electricity bill, rent agreement, bank account statement and a deed of purchase.Step 3: Add a self-attested photocopy of your identity proof documents, such as your PAN card, passport and your voter ID.Step 2: Fill in the details required in the form, and do not forget to sign it.Step 1: Visit the Experian website and download and the Credit Report form. ![]() This is the highest range given by Experian, and indicates an individual with a nearly perfect credit record, You will be considered very low risk, and will also likely get better deals on loans and credit cards.Ĭhecking your Experian credit score and report offline ![]() Good history of financial management, utilization of credit, and regular repayment with no defaults, You have proven your creditworthiness, and lenders will consider you a low risk when it comes to extending credit. Some instances of payment defaults, unsecured loans, etc, You will be considered a risk to lenders, as you might be liable to default.Ī balanced credit history, demonstrating financially sound decisions, and timely repayments, You will be considered a low-risk borrower, and lenders will extend credit. Poor history of financial management, payment defaults and poor credit utilization, You will be considered a high risk and lenders will be wary of extending credit. ![]()
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