what is a credit score and why is it important

A credit score is a three-digit number, typically ranging from 300 to 900, which serves as a numerical representation of your creditworthiness and repayment history. It is a vital factor for financial institutions (like banks and NBFCs) when evaluating your loan or credit card application. A good score, usually 750 or above, is important because it increases your chances of approval and often helps you secure lower interest rates and better financial terms.