The moment when you first take a loan or get a credit card, you start accumulating credit. That is the easy part. Staying in control and being aware of your credit rating is tougher.

We all know the advantages of maintaining a good credit score. You can achieve all your financial goals and also get some amazing benefits of a good score, like lower interest rates on loans and cards. You could also save money on security deposits for utilities like your mobile or telephone connection.

This New Year, make yourself 5 promises to maintain a high credit score:

1. Make your payments on time

Pay all your bills on time. This isn’t true just of your credit card, but all your utilities and even small business loans that you may have.All payments get recorded and when you make payments on time, you come across as a good credit risk for future lenders.Keep track of payments, maintain a folder for all bills and stay on top of it. Better still, initiate automatic payments so that you never miss any payments. Just ensure you always have sufficient funds in your account.

2. Rectify mistakes on your CIBIL report

You might be doing everything by the books, but errors can happen. And these could show up as discrepancies in your credit rating.Watch your credit report and check it regularly. Report any inconsistency as soon as you spot them. Identity theft or credit card fraud is also something that you need to watch out for.Errors could affect your score hugely, and cause you an inconvenience and also impact your financial plans.

3. Make it a habit to say no to your credit card

Keeping your credit card balances low is crucial to maintaining a good credit score. And it’s all in your hands.Your credit balance should never be more than 30% of your credit limit, even if you pay your bill in full every time. Credit card companies usually report your balance at the time your statement is generated, and that’s when your balance is highest. This reflects badly on your credit score.Limit the use of your credit card to maintain a good credit score.

4. Study your credit history to identify what you are doing wrong

On the off chance that your credit rating has slipped and is below acceptable levels, stop a moment and study your credit history.Understand what you could be doing wrong.Are you paying bills on time? Even if you are, on-time payment accounts for just 30-40% of your total. Perhaps the debt-to-limit ratio of your credit card is too high.Or it could be that you have taken too many small business loans at the same time.All these factors combine to affect your credit score. Study your patterns and rectify mistakes before they cost you too much.

5. Consider shifting your credits

If your existing loan is taking a toll on your monthly budget and you find yourself struggling to make payments on time, you could consider shifting your loan.The new loan could be taken at lower interest rates, or you could work out a different payment schedule. The ease of payment is anexcellent way to give your credit rating a little shake.

SMEs in Indiahave many avenues to maintain a good credit rating. It is now simply a matter of taking advantage of those options.

*This article is contributed by Digikredit Finance Pvt Ltd , an NBFC,  which operates under the name  SMEcorner