Having a credit score below 650 can significantly impact your ability to borrow, often resulting in higher interest rates and loan rejections. A credit score serves as a financial report card, reflecting how well you manage debt. Scores above 750 are considered excellent, indicating responsible financial behavior. To improve a low score, focus on timely repayments to build a strong credit history, as this fosters trust with lenders. Keeping your credit utilization below 30% of your limit is also essential; for example, if your credit limit is ₹1,00,000 (approximately $1,200 USD), use no more than ₹25,000 to ₹30,000. Avoid multiple loan applications in a short period to prevent hard inquiries that can lower your score. Prioritizing the repayment of high-interest debts and overdue bills is vital to avoid falling into a cycle of debt. Maintaining an active credit card can help by lengthening your credit history, which lenders favor. Regularly checking your credit report for errors and addressing discrepancies with your credit bureau can further protect your score. By adopting these strategies, you can enhance your creditworthiness, improve loan approval chances, and save on interest costs in the long run.