How to Read your Credit Report?

byDilip PrasadLast Updated: March 9, 2023
Read your Credit Report

Credit report is a collation of all your credit history which is used to decide your credit score. A good credit score is the first and foremost requirement of any lending institution.

The report therefore should be regularly checked by every borrower for any errors, wrong updates or misspellings. It usually consists of several sections that carry specific information on each category.

This article helps users understand the components of a credit report to evaluate it better.

How to Read your Credit Report?

Let’s look at the various elements present in the report.

1. Personal information

This section covers all the personal details related to the consumer and includes sections such as name, address, date of birth and current & previous accounts.

It may have discrepancies due to misspellings or incomplete addresses and hence is essential to not skip through this section and immediately contact the credit bureau in case of errors.

Moreover, erroneous details within personal information can mean a possibility of financial fraud

2. Account information

Account information consists of all the details about your credit account – both current and previous.

The key details include:

  1. Account opening date
  2. Account number
  3. Credit Limit
  4. Ownership details
  5. Loan amount
  6. Payment history and status
  7. Account balance
  8. Creditor name
  9. Type of account

The user should go through all of these details to verify their accuracy considering these points directly affect the credit score.

3. Days Past Dues information

Days Past Due (DPD) refers to your payment timeline of each credit account which is mentioned numerically or as a remark depending on the update.

It will cover everything from delays in payments (even if by a single day) to bankruptcies filed by the user.

If a section shows ‘000’ it implies that there have been no overdues and the payment was done on time. Similarly ‘XXX’ indicates that the lending institution has updated the credit data for the specific month that you are checking.

Any other information on the report suggests an issue or delay in repayments.

4. Inquiries

This part includes information related to the inquiries done by lenders, banks and other financial institutions to access your credit score. While soft inquiries do not affect the credit score, multiple hard enquiries in a short span of time can bring down the score.

Read this article to understand in detail how credit inquiries can affect your credit score.

Credit Score and its Impact on Loan Eligibility

A credit score is the result of the credit report and usually ranges between 300 and 900. It is primarily used to decide your eligibility for a loan, including the amount and terms. Here’s a look at the range and what it signifies.

750 – 900: The most ideal score range allowing you loans at very good interest rates.

700 to 749: A good score ensuring eligibility for unsecured loans (student loan, personal loan, credit card). The rate of interest here won’t be as great as the above range.

650 to 699: An average score which may not fetch you a good interest rate or a high credit limit on the loan application.

600 to 649: Your loan eligibility is doubtful with very high chances of rejection.

599 and below: Considered a bad score and needs immediate attention

How to Check your Credit Score on Paytm for Free?

Paytm allows you to find out your Credit Score with the help of a simple process. Here are the steps to follow:

  • Log in on your Paytm mobile app.
  • Go to the Loans and Credit Cards section
  • Select Free Credit Score
  • Check your credit score 

Here’s another way to instantly find your credit score: Check My Credit Score


The importance of regularly checking and maintaining a good credit report can’t be stressed enough. It’s an indicator of the user’s creditworthiness. The process of loan application has become easier now but it may not give the desired results if the credit report is ignored. Moreover, there can be unintended errors in the report which need timely correction to avoid their impact on the credit score.

Personal Loan by Paytm is India’s quickest multipurpose loan platform that can be availed within a few minutes. Its completely digital, flexible and timely repayments can help you improve your credit score. Apply now and get up to 3 lakhs in credit from our lending partners.

You May Also Like