How To Increase CIBIL Score Without Credit Card?

A CIBIL score is incredibly important when you need to demonstrate your creditworthiness to a lending institution. 

However, the most common misconception about CIBIL or credit scores is that you need to use a credit card to have one. 

Suggested Reading: How to Increase Your CIBIL Credit Score Immediately

Keep reading to learn more about loan options for building credit.

What are Credit Score and Credit Report?

Before we start talking about increasing CIBIL score without credit cards, let us first understand what is a credit score is and what is a credit report.

The credit score is a three-digit number that summarizes your credit history and represents your creditworthiness. It is based on your credit and payment history. 
Lenders consider your past repayment history as a clear indicator of your repayment capacity. 

The credit score plays a crucial role in getting loan and credit card approvals, particularly for unsecured loans and credit cards that lack collateral or assets to back them up.

Credit bureaus keep track of their clients' credit actions in their credit reports and generate a credit score between 300 and 900. 

Therefore, it is crucial to ensure that all credit actions that could improve your credit score are included in your credit report, and any errors that could negatively impact your score are corrected promptly.

How to improve CIBIL score without credit card?

The strategies listed below can help you improve CIBIL score without a credit card:

1. Get a loan through a bank or an NBFC

You may obtain a loan from a bank or NBFC if you enjoy an excellent working connection with them. Utilise it in accordance with your ability to repay. Repaying this little debt will improve your credit score, but be sure you make your installments on schedule. 

You can either choose to get a personal loan which is an unsecured loan or any type of secured loans such as car loans, gold loans, etc.

2. Inquire about being added as an authorized user

You can ask someone you know to add you as an authorized user if you know them. You will gain from the account owner's prompt payment of credit card bills, loan EMIs, and other debts. His excellent credit rating will also affect yours. 

3. Get a secured credit card 

You can submit an application for a secured credit card. These credit cards are easier to obtain and accepted than unsecured ones because they are backed by a fixed deposit. Utilise the secured credit card to make on-time credit card payments. You can raise your credit score in this manner.

4. Get a loan through peer-to-peer lending

For consumers with brief credit histories or low credit scores, loans from peer-to-peer lending services provide higher interest rates. However, because these peer-to-peer lending platforms submit information to credit agencies, they can be used to raise your credit score.  Just be careful not to overborrow or spend your money on frivolous purchases. 

5. Timely payment of existing Loan

If you have already taken out a personal loan, it is crucial to consistently pay back your EMIs to the lending institution. Remember to maintain a debt-to-income ratio below 30% for effective credit score management.

6. Utility Payments

In general, utility payments don't directly affect your credit report, but if you don't make them on time, your account may be referred to collection agencies, who then report to credit bureaus, which might harm your credit score and creditworthiness.


Building and maintaining a high CIBIL score is difficult. If your credit score declines, it will take a lot of time and effort to improve it. 

Although correctly using a credit card can help you raise your CIBIL score, it is not the only option. There are numerous additional strategies to raise your CIBIL score as listed in this article.

How To Increase CIBIL Score Without Credit Card - Related FAQs

By obtaining a secured credit card, add-on card, prepaid credit card, etc. and using it responsibly, you can raise their CIBIL score without having a credit card.

Building a solid credit history, managing loan payments wisely, keeping open old credit accounts, making EMI payments on time, and keeping an eye on your credit report are all necessary to raise your CIBIL score from 600 to 750+. A good CIBIL score of 750 or higher makes securing a loan a snap.

You can raise your credit score by regularly checking your credit report, paying your bills on time, especially your mortgage or rent, keeping your credit card balances low, paying off debt rather than rotating it, paying more than the minimum amount due, applying for credit only when necessary, and beginning with missed payments first. 

The key to establishing good credit is timely payment of credit card and loan EMIs. Every 30 days, creditors of credit cards and loans record your payment history to the credit bureaus. In order to improve your credit score, make sure to make your payments on time. 

You cannot specify a time frame for recovering from bad credit. Rebuilding your credit may need a few months or several years of prudent money management. It depends on how significant the problems were that had an impact on your credit history.

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