CIBIL Premium Subscription : Should I buy & Is it worth it?

Credit Score CIBIL
1

I have people around me who are heavily based on credit cards and loans due to their personal and professional reasons and they have CIBIL Premium Subscription. I have been mulling to get it just out of the peer pressure but I want to find out if it is really worth and as a normal individual who likes to have multiple credit cards, is it worth?

What are some pros and cons that you have seen of buying a CIBIL premium?

2

I have been a CIBIL premium subscriber for over a year now and I check my score almost every month. As you mentioned, I am a regular person with a corporate salary. I have Two home loans, a few credit cards.

Example of where the cibil subscription helped me:

  1. Second home loan from State Bank of India was taken post Covid. When the loan started, They reported the loan to cibil with “Moratorium availed for Covid-19” I wouldn’t have found out if I didn’t check my cibil that month. I emailed CIBIL and they fixed it promptly. The premium subscription gets you these added perks.
  2. Kotak Mahindra bank called me to ask if I was interested in a personal loan, I enquired the rates and said I don’t need it at the interest rate they were offiering. The following month on cibil I see a personal loan account open. Even though It showed 0 disbursement, it was an additional account and the enquiry as well as a new account was added to my account, but the credit account was started. Had to complain and get it removed.

The banking institutions do these shady things to meet their targets and hope that a regular person is not going to be checking their cibil score at all or at least not in detail.

3

As I had CIBIL premium subscription and I can check my score on daily basis, i wanted to share my observations of CIBIL score changes based on my usage. 1-Although my bill cycle was middle of the month, the score was updated only at the end of the month. 2- Utilisation of 40% dropped my score 10 points in the same month. 3- Utilisation below 5% increased 10 points in the first month. But even though I maintained utilisation below 5% in subsequent months it did not improve the score at all. The score remained same even after keeping the utilisation below 5% for continuous 3 months. 4-Always paying the dues on time. Don’t see any improvement in the score.

Based on my observations it seems that any negative impact will reflect immediately and drop your score significantly but improving score won’t happen that easily even if you follow all cc guidelines. Will share more observations time to time. Thanks.