Improving a credit score in 2026 is about consistent, smart habits applied over a few months—not quick hacks. With RBI’s new rules making scores update faster, disciplined changes can start showing visible results within 60–180 days.
Overview: What Matters Most for Your Score
Credit bureaus in India (CIBIL, Experian, Equifax, CRIF High Mark) broadly track the same factors. The biggest weightages are:
- Repayment history (no late EMIs/dues) – ~35%
- Credit utilisation (how much of your limit you use) – ~30%
- Length of credit history – ~15%
- Credit mix (secured vs unsecured) – ~10%
- New credit enquiries – ~10%
In 2026, RBI has also pushed for faster reporting and updates, so good behaviour reflects more quickly in your score.
Step 1: Get Your Latest Credit Report (and Find the Damage)
Before fixing your score, understand why it is low.
- Download your report free/low-cost from at least one bureau (CIBIL, Experian, CRIF, Equifax).
- Check for:
If you see errors:
- Raise a dispute directly on the bureau’s portal with supporting proofs (closure letters, bank statements).
- Under updated norms, lenders must report closures within 21 days and bureaus update in ~15 days, so corrections reflect faster than before.
Goal of Step 1: Clean up mistakes so you’re not punished for data errors, only for actual behaviour.
Step 2: Fix Repayment Behaviour Immediately
Payment history is the single most powerful lever. Even one 30+ day delay can hurt a score for months.
Action plan:
- Create a list of all EMIs and credit card due dates.
- Set auto-debit or UPI standing instructions for at least the minimum amount due (ideally full amount) on each card.
- If you’ve missed payments:
From now on, your rule is simple: no missed or late payments, even by one day.
Step 3: Drop Your Credit Utilisation Below 30%
Using too much of your available credit every month signals stress, even if you pay in full later.
Target:
How to do it:
- If possible, part-prepay or fully pay large card balances to bring them down quickly.
- Increase your card limit (and don’t increase spending). Higher limit with same spending = lower utilisation.
- Spread spending across 2–3 cards instead of maxing one.
- For tight months, pay before the statement date to reduce reported balance.
This is one of the fastest ways to gain 30–70 points in a few months for many borrowers.
Step 4: Stop Aggressive Loan and Card Applications
Each fresh loan or card application triggers a “hard enquiry”. Too many in a short time look like credit hunger.
In 2026 lenders and bureaus still penalise:
- Applying with multiple banks for the same loan at once.
- Applying for several new cards within a few months.
Do this instead:
- Pause new applications for 3–6 months while you repair your profile.
- Use eligibility checkers that do “soft checks” and don’t affect your score.
Fewer enquiries give your score room to recover from past issues.
Step 5: Build a Healthy Credit Mix (Without Over-Borrowing)
Scores reward borrowers who handle both secured and unsecured credit well.
- Secured: home loan, car loan, loan against property.
- Unsecured: credit cards, personal loans, BNPL.
If your report shows only personal loans/credit cards:
- Avoid taking unnecessary new loans just for “mix”.
- Over time, when naturally needed (e.g., vehicle or home), a secured loan repaid on time helps the profile.
If you’re rebuilding from a very low score:
- Consider a secured credit card backed by a fixed deposit.
- Use lightly (under 20–30% of limit) and pay in full every month for 9–12 months.
This gives bureaus recent, clean positive data to work with.
Step 6: Keep Old Accounts Open and Stable
Length of credit history improves your score because it shows long-term behaviour.
Avoid:
- Closing your oldest credit card just because you don’t use it often.
- Closing accounts that have clean repayment history.
Instead:
- Keep older, fee-free cards active with a small monthly transaction and auto-pay in full.
- If you must close something, shut newer or expensive cards first.
A longer, stable track record is viewed as lower risk by lenders and scoring models.
Step 7: Set a 6–12 Month Game Plan
Realistically, improving from:
- ~600 to 700+ can take 6–12 months with disciplined behaviour.
- 700 to 750–800 can take another 6–12 months as history builds.
Practical routine for 2026:
- Month 0: Clean errors, regularise overdue dues, enable auto-pay.
- Months 1–3: Keep utilisation <30%, no new credit, no late payments.
- Months 4–6: Review your score and reports again; fix any fresh issues.
- Months 6–12: Maintain the same habits; let time and clean data compound the gains.
With RBI’s updated reporting timelines, positive changes (like closing a loan or reducing debt) now reflect faster than earlier, so you see improvements sooner if you stay consistent.
Simple Do/Don’t Checklist for 2026
Do:
- Pay every EMI and card bill on or before due date (prefer auto-debit).
- Keep credit utilisation comfortably below 30%.
- Check at least one bureau report every 6–12 months.
- Use one or two cards responsibly for regular spends and pay in full.
- Consider a secured card if rebuilding a very low score.
Don’t:
- Miss or delay payments—even by a few days.
- Revolve big balances month after month.
- Apply for multiple loans/cards in a short span.
- Close your oldest, well-managed credit accounts unnecessarily.
- Opt for “settlements” unless there is no alternative, and understand the long-term impact.
Good credit in 2026 is less about tricks and more about predictable, boring discipline. Do the right things repeatedly for 6–18 months, and your score will almost certainly move into a healthier zone, making future loans cheaper and approvals smoother.