Tips to build a strong credit score by swiping your credit card

In today’s world, living on credit is widespread, thanks to the convenience it offers. Credit Cards, if used wisely, can help you build a strong credit score. A credit score is a three-digit number assigned to you by credit bureaus such as CIBIL. These bureaus store information they receive from banks on all the lines of credit you use and give you a score based on how you handle them.

This score is computed on various parameters such as timely repayment of credit, low credit utilisation (the amount of credit you are using as against your total credit limit), credit mix, or the proportion of secured and unsecured loans, the age of your credit accounts, etc.

The credit score ranges between 300 – 900. When it comes to borrowing a loan, this score plays a significant role. Banks and other financial institutions feel more confident to lend if your score is closer to 900. However, a credit score of 750 plus is also considered healthy by lenders.

Since Credit Cards are a line of credit most people use frequently, they can be used to one’s advantage to build and maintain a healthy credit score. Read on to know how:

Choose a card that reflects your lifestyle

Credit Cards have become a lifestyle accessory, and it helps if the card offers you benefits that complement your lifestyle. For instance, if you travel often, a Credit Card such as the InterMiles HDFC Bank Signature Credit Card can prove to be a great option for you. This card offers a range of benefits including a special welcome benefit of 3,000 InterMiles being awarded upon spending INR 6,000 within 30 days of the card being set up. And that’s not all! You get another 3,000 InterMiles on spending INR 6,000 within 30 days of the first anniversary date. You also receive an INR 750 flight discount voucher* as well as an INR 2000 hotel discount voucher* too, for the first year.

This card also rewards you every time you shop or book flights and hotels. You can earn 6 InterMiles for every INR 150 spent on retail expenses and 12 InterMiles for every INR 150 spent on flight or hotel bookings. This way, your Credit Card truly rewards you for doing the things you love!

Pay your Credit Card outstanding in full

Your payment history accounts for 30% of your credit score. To build good credit, you need to establish a steady record of on-time payments. To do this, pay off your total outstanding amount of the Credit Card bill every month. Doing this will give you the dual advantage of interest-free credit usage (because of full repayment in each billing cycle) and a good credit record.

Paying your Credit Card bill becomes easier when you choose a card that rewards you for using it. A convenient and extremely rewarding Credit Card for everyday use is the HDFC Bank MoneyBack+ Credit Card. You get 10x CashPoints at your favourite merchants like Amazon, BigBasket, Flipkart, Reliance Smart SuperStore and Swiggy. Plus, you can get 5x CashPoints on EMI payments at merchant locations and gift vouchers worth INR 500 upon spending INR 50,000 per calendar quarter.

That’s not all! You will receive 2 CashPoints (on every INR 150 you spend on this card & 1% fuel surcharge waiver of maximum INR 250 per month. The CashPoints that you earn can be redeemed against your outstanding balance or to purchase gift vouchers. Using a Credit Card is indeed so simple and rewarding!

Keep your credit utilisation under 30%

Another way to maintain good credit is by keeping credit utilisation under 30%. To ensure a low credit utilisation limit, consider making payments twice in a billing cycle rather than waiting for the end of the period to make one lump sum payment. Making payments in tranches can also be easier on your pocket and help you with the upkeep of your score.


When chosen well and used responsibly, Credit Cards can help you build and maintain a good credit track record. A good credit score can be invaluable when you are (say) in urgent need of a loan. A credit score is considered a measure of your creditworthiness by potential lenders. It is thus in your best interests to maintain a strong credit record.

Looking to apply for a Credit Card from HDFC Bank? Click here to apply now!​​​​​​​

Wondering how to improve your credit score? Click here to know more!

Apply for instant credit card and enjoy special privileges and cashback offers with HDFC Bank.

*These renewal benefits are only applicable on realization of membership fee. Kindly click here for discount voucher Terms & Conditions

**Terms & conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Credit Card approvals are at sole discretion of HDFC Bank Ltd. Credit Card approvals is subject to documentation and verification as per Banks requirement.