Home Discover Journals Can your employment get affected by CIBIL score

Can your employment get affected by CIBIL score

By Finserv MARKETS - Feb 18,2020
Views Icon712 Views 0 0 Comments

get affected by CIBIL score

✓Term Insurance Prices to increases soon! ✓Buy today & Save Big ✓Pay in NO Cost EMIs ✓Stay covered till age 99 years

In an age where employers take every possible measure to conduct background checks, checking prospective employees’ CIBIL report hardly comes as a surprise. Before we delve into why employers ask candidates to get CIBIL reports, learn all about CIBIL score.

What exactly is a CIBIL report?

CIBIL is an acronym for Credit Information Bureau (India) Limited. The CIBIL report and score is provided by TransUnion CIBIL, a bureau that is affiliated to banks in the country. The CIBIL report is an exhaustive report of every credit taken by an individual, be it a home loan, a car loan, a credit card, overdraft or a personal loan. It is a report of a person’s history of repayments of any borrowings over a specific period of time.

Your CIBIL score is an indication of how good your financial situation is. A high score means you not only have discipline in your financial transactions but you also have integrity and repay on time. Every time a loan is sought, the bank may get CIBIL score of the applicant. Any score above 700 is considered high/excellent, but banks may use their discretion. The CIBIL score is in the 300 and 900 range, with 900 an indication of the highest credit-worthiness of an individual. Having a good score means approvals are faster and you may even get a higher amount as loan, apart from a longer repayment term.

So, why do employers want to get CIBIL report?

Your CIBIL report is an indication of your discipline and integrity, two qualities that most employers look for. The higher the score, the greater the impression on your employer. It is indicative of your capacity to ensure a good CIBIL score. When employees find CIBIL score that is below average, they may feel that the employee has a poor repayment history and lacks financial integrity and is not worth trusting. As a prospective employee, you may lose your employer’s trust with a poor CIBIL score.

When employers find CIBIL score that is below par, they may come to the conclusion that an employee or a prospective one has financial problems and may get distracted from performing well at the workplace. Productivity may get affected because of the financial burdens a person is carrying. Also, the employee’s financial liabilities may bog down the company and other colleagues.

If you, too, are required to produce your CIBIL score to your employer, you can do so with the help of the free Financial Health Check Report, available on Finserv MARKETS. This report gives you a comprehensive picture of your financial capabilities. The report is simplified yet thorough and offers you handy insights to help you make informed financial decisions.

How does my employment depend on CIBIL score?

Banks and financial institutions are allowed to get a CIBIL score or report for evaluating the consumer’s history of repayment before issuing loans. This data needs to be kept in confidence. But in the recent past, even firms that conduct background screenings have tied up TransUnion to get CIBIL reports of a prospective hire.

Sometimes employers may ask you, a prospective hire, to get CIBIL score, and you may need to submit it because you need the job. It is a discretionary move on the part of the organisation that is offering you the job. Not all companies may need you to produce your CIBIL score. They may have sought it from a background screening agency or they may not find the need to find CIBIL score of a prospective employee at all.

Whether or not an employer seeks CIBIL scores, it is ideal to ensure that your score is at a good level so you have no worries.

  • Ensure you don’t defer any payments — pay your EMIs on time.
  • Keep in mind not to max out your credit. Even though you have a high limit on your credit card, don’t max it out.
  • Don’t extend loan tenures as it can negatively impact your CIBIL score.
  • Pay all bills on time. Late payments may impact your score.

Check CIBIL Score

Summing up

When prospective employers find credit score that’s topnotch, they are more likely to hire you. CIBIL scores not only matter for banks or financial institutions but on a company you wish to work for as well. It is not just about your financial discipline but also about your growth prospects so handle your credit scores with care.

Financial Health Check Report available on Finserv MARKETS helps you with comprehensive data of your financial health. You can gain access to your CIBIL score as part of the detailed report, which also gives data on your repayment history, your credit utilisation and the type of credit you may have taken.

You can easily check credit score using pan card

Finserv MARKETS, a subsidiary of Bajaj Finserv, is a one-stop digital marketplace that has been created for consumers on the go. It offers 500+ financial and lifestyle products, all at one place. At Finserv MARKETS, we understand that every individual is different. And that’s why we have invested in creating a proposition – Offers You Value. A value proposition that ensures you get offers which are tailor made for you. We also offer an amazing product range and unique set of online offers across Loans, Insurance, Investment, Payments and an exclusive EMI store. Be it in helping you achieve your financial life goals or offering you the latest gadgets, we strive to offer what you are looking for. From simple and fast loan application processes to seamless and hassle-free claim-settlements, from no cost EMIs to 4 hours product delivery, we work towards fulfilling all your personal and financial needs. What’s more! Now enjoy the same benefits in just one click with our Finserv MARKETS App.


Connect with Us
Connect with Us

Bajaj Finserv Direct Limited ("BFDL") is primarily engaged in distribution of financial products and services through its digital platform (“Bajaj Finserv MARKETS”) and inter alia renders services of customer acquisition, providing preliminary credit support activities, fulfilment services and post-acquisition customer services to Banks, NBFCs, HFCs. BFDL is also a registered Corporate Agent (Composite) under valid IRDAI registration number: CA0551 valid till 10-Apr-2024 for solicitation and servicing of Insurance Products. Registered Office: Bajaj Auto Limited Complex, Mumbai – Pune Road, Akurdi, Pune – 411 035 CIN: U65923PN2014PLC150522