CIBIL and Experian are India’s well-known credit bureaus. They collect and maintain financial data, including your borrowing and repayment history. Based on this data they assign your credit score. The credit score given by CIBIL is called CIBIL score, while the credit score given by Experian is called Experian score.
So, what is a Credit Score and why should anyone care about it?
A credit score is a 3-digit figure that reflects your creditworthiness — in other words, how reliable you are with borrowed funds. Lenders such as banks, NBFCs, and fintech players use this figure to determine whether to lend you money and at what rate of interest.
In India, the score typically falls between 300 and 900.
The more you score, the more reliable a borrower you are.
But with a twist: there isn’t only one credit score. There are several credit bureaus like CIBIL and Experian generate their own scores based on individuals financial data they collect.
More about CIBIL and Experian credit bureaus-
✅ CIBIL (Credit Information Bureau India Limited)
- Now called TransUnion CIBIL
- India’s oldest credit bureau, founded in 2000
- Used by more than 90% of Indian lenders
- Score range: 300–900
- Website: https://www.cibil.com
✅ Experian India
- A global credit bureau, that has been operating in India since 2010
- First credit bureau to have been licensed by the Credit Information Companies Act (CICRA) in India
- Popular amongst new-generation fintechs and NBFCs
- Range of Score: 300–850
- Website: https://www.experian.in
Many times, you must have observed two different apps show two different credit scores. You’re not alone. Several Indians are confused when their CIBIL score and Experian score differ quite significantly. One may report 730 while the other only crosses 650. That’s confusing, right?
In 2025, as online lending increases exponentially and more Indians rely on credit cards, buy-now-pay-later apps, and personal loans.
Therefore, knowing your credit score is more important than ever. More importantly, you need to know why Experian and CIBIL scores are different. This will prevent you from being rejected for credit, charged exorbitant interest rates, and even identity theft.
This in-depth article, explains why these differences occur, what each bureau does, what to do when your CIBIL score decreases or doesn’t show up at all, and why all this matters for your financial health.
Why Experian and CIBIL Score Differ
1. Different Scoring Algorithms
Both bureaus have their own proprietary formulae for calculating your score. Though they look at the same parameters such as repayment history, credit utilization, and age of accounts, each may place varying weights on these parameters.
For instance:
- CIBIL might place greater emphasis on your repayment history.
- Experian might place greater importance on credit utilization or composition of secured and unsecured loans.
2. Difference in Data Reporting by Lenders
Not everyone repays all credit bureaus. Some may report your loan information just to CIBIL but not to Experian, or the other way around.
This leaves you with incomplete credit history, and that hurts your score directly.
Suppose you closed a personal loan recently with a small NBFC that reports only with Experian. Your Experian score gets a boost, but your CIBIL score does not change.
3. Frequency of Data Updates
Each credit agency refreshes your report based on when they get information from banks. If Experian refreshes your profile on the 3rd of the month, and CIBIL refreshes on the 15th, your scores may vary dramatically in between.
4. Varying Credit Score Ranges
CIBIL uses a credit score range from 300 to 900, while Experian’s range goes from 300 to 850. The difference might seem small, but it can change how your score is interpreted — a 750 with CIBIL is excellent, but the same number carries even more weight in Experian’s slightly narrower scale.
5. Processing Lag in Time
At times, a single bureau posts your information faster than the other. If you settled a large loan last month, Experian might have already posted it while CIBIL is still to show the same.
Now, again, Experian is significant, but CIBIL is more important in India. Banks and lenders will first look at your CIBIL score to determine whether or not to approve or deny your loan.
That is why it is quite critical to learn about how your CIBIL score functions and what influences it. In the second part, let’s consider CIBIL further — how it fluctuates, why it decreases, and what can be done about it.
Why My CIBIL Score Decreased?
This is a common question from users, especially after taking new credit or spending using credit cards.
Below are the causes for why your CIBIL score decreases suddenly:
1. Overdue or Delayed Payments
A single defaulted EMI can damage your score. CIBIL’s algorithm places a high value on your payment track.
2. High Credit Utilization Ratio
Are you going over 30–40% of your credit limit? That is a signal to credit bureaus.
Suppose your credit card limit is ₹1,00,000 and you spend ₹80,000 regularly. Your score can drop even if you pay on time.
3. Frequent Applications for Loans
If you have applied for too many loans or credit cards within a limited period of time, your score can drop due to repetitive hard pulls.
4. Closed Old Accounts
Surprisingly, closing an old credit card can hurt your score. Older accounts help maintain a longer credit history, which boosts your score.
5. Errors in Credit Report
Sometimes, incorrect reporting by lenders — such as showing unpaid dues you’ve already cleared — can pull down your CIBIL score.
💡 Tip: Always download your credit report from https://www.cibil.com and check for errors.
Why My CIBIL Score Is Not Showing?
Did you recently check your score and get a message like “No Credit History” or “Score Not Available”? Let me tell you why it happens.
✅ No Credit Footprint
If you’ve never taken out a loan or credit card, there isn’t any credit activity to learn from. So, no score is calculated.
✅ Very Recent Credit History
If you’ve just gotten your very first credit card or loan, CIBIL may not have enough information to calculate a score yet.
✅ Technical Errors or Mismatch in Data
Many times writing mistakes in your name, phone number, or PAN in your loan application may show wrong records of CIBIL score.
💡 Tip: Create a dispute directly with CIBIL on their online portal to correct mistakes.
Why Your CIBIL Score Is Important
Let’s get to the point: Why is your CIBIL score so vital?
1. It Decides Loan Approval
Every major bank like SBI, HDFC, ICICI, and Axis first check your CIBIL score before they even consider your application.
Above 750 generally promises smooth approval and beneficial interest rates.
2. Affects Credit Card Limit and Eligibility
Improved the score, improved are the prospects of getting premium cards like HDFC Infinia or SBI Elite with greater cashback and rewards.
3. Helps in Getting Rent Agreements and Jobs
Most companies and landlords today check credit scores before finalizing rent or jobs — especially finance jobs.
4. Sets Your Financial Independence
Maintaining a high CIBIL score will allow you to negotiate better terms, lower EMIs, and even have your credit limit increased automatically.
RBI data (2024) revealed that over 80% of personal loans approved in urban cities were for applicants with CIBIL scores above 740.
Source: RBI Annual Report
Case Study from Real Life: How One Mistake Affected Both Scores Differently
- Name: Priya Mehta
- Occupation: Software Professional, Pune
Priya maintained a good credit history. In January 2024, she took a personal loan of ₹5 lakh under a fintech app. Her bank account, however, did not have enough money on the EMI date because the credit of salary was delayed.
This missed EMI was reflected in her report immediately through CIBIL, and the score came down from 782 to 706.
But with a twist here — the NBFC she had borrowed from reported to CIBIL and not to Experian. Her Experian score was 775 and it stayed at 775.
This caused a bit of confusion when applying for a car loan. One bank took her based on her Experian score, while another bank did not approve her because of her CIBIL dip.
So what’s the take away? Well – monitor both, and make sure all of your lenders report to both bureaus.
2. Check for missed updates or discrepancies
3. Raise disputes for wrong items
4. Ask lenders where they report
5. Avoid new credit until things align
• Experian: Fill out the dispute form — Experian Dispute Form
| Parameter | CIBIL Weight (approx.) | Experian Weight (approx.) |
|---|---|---|
| Repayment History | 35% | 30% |
| Credit Utilization Ratio | 30% | 35% |
| Length of Credit History | 15% | 10% |
| Credit Mix | 10% | 15% |
| New Credit Inquiries | 10% | 10% |
| Score Range | CIBIL Interpretation | Experian Interpretation |
|---|---|---|
| 750–900 | Excellent | Excellent |
| 700–749 | Good | Good |
| 650–699 | Fair | Fair |
| 600–649 | Poor | Poor |
| Below 600 | Very Poor | Very Poor |
Here are Some Trustable Tools to Monitor Credit Score and Alerts?
Credit Score Monitoring Tools in 2025 (Free & Paid):
- OneScore
- CRED
- Bajaj Finserv Credit Pass
- Paytm & BankBazaar
These apps provide real-time alerts, detect fraud, and offer score-building tips.
Final Thoughts: Track, Understand Reason, and Improve
Being aware of how Experian and CIBIL scores differ is the first step towards being a creature of your own financial health. While both attempt to evaluate your creditworthiness, their methodology, source of data, and logic are different — that is why there is a disparity.
Rather than getting anxious, though, it is better to do the following:
- Keep an eye on both scores from time to time
- Report disputes for errors
- Build a positive credit report
Think of your credit score as your financial reputation. It’s one of the first things banks and fintech companies check before offering you any kind of loan or credit card. In fact, without verifying your credit score — especially your CIBIL score — no lender in India will approve your application. That’s just how the system works now. So, take your credit score seriously. A strong score can help you get faster approvals, better interest rates, and fewer financial headaches down the road.
