A credit rating score is a three-digit number that represents your creditworthiness. It is calculated based on your credit history, payment history, credit utilization, length of credit history, and types of credit used.
The most commonly used credit rating is the FICO score, which ranges from 300 to 8502. A higher credit score indicates that you are more likely to pay back your debts on time and that you are a lower credit risk.
Credit scores are used by lenders, insurance companies, and other financial institutions to determine whether to approve your loan or credit application and what interest rate to charge you. You can check your credit score for free from credit bureaus like CIBIL or through various online platforms like credittriangle.com.