1. Never miss a due date — automate it
Payment history is the single heaviest factor in your score. One 30-day late mark can undo a year of good behaviour and stays visible for years.
Set every EMI and card bill to auto-debit at least the minimum due, and pay the rest manually. A missed ₹500 card bill damages you as much as a missed ₹50,000 EMI.
2. Keep credit card utilisation under 30%
Utilisation is your card balance as a percentage of the limit, and bureaus read high utilisation as financial stress. Someone using ₹90,000 of a ₹1 lakh limit scores worse than someone using ₹90,000 of a ₹5 lakh limit.
Two quick fixes: ask your issuer for a limit increase (it lowers the ratio instantly without new spending), or pay your card bill mid-cycle so the reported statement balance stays low.
3. Don't scatter loan applications
Every formal application triggers a hard enquiry, and several enquiries in a short window scream desperation to underwriters — each one can shave points off.
Check eligibility through soft-enquiry routes first (QCred's matching works this way), shortlist one lender, and apply once.
4. Keep old cards alive
The age of your oldest account lengthens your credit history — closing an old, unused card shortens it and simultaneously raises your utilisation by removing its limit.
Keep your first card open with one small recurring charge on auto-pay, even if a newer card earns better rewards.
5. Fix report errors — the fastest points you'll ever gain
Loans you closed showing active, accounts that aren't yours, wrong late-payment flags — bureau errors are common and correcting them can jump your score within weeks.
Pull your report, scan every account, and raise a dispute online with the bureau for anything wrong. Banks must respond to disputes within 30 days.
6. Mix secured and unsecured credit
A profile that's 100% personal loans and cards reads riskier than one that also handles a car or home loan responsibly. Don't take a loan you don't need — but when choosing between financing options for a planned purchase, remember secured loans diversify your mix.
New to credit entirely? A secured credit card against a small FD builds history with zero rejection risk.
How long does recovery take?
Utilisation fixes reflect in 1–2 statement cycles. Enquiry damage fades in ~6 months. A late-payment mark hurts less over time but stays on the report for up to 7 years — which is why prevention (rule #1) beats every cure.
Consistent behaviour for 6–12 months typically moves a mid-600s profile into the 720+ zone where mainstream lenders compete for you.