New Delhi, March 26 -- Your credit score needs to be enhanced in order to secure loans and credit cards at fair rates of interest. One of the most effective means of diversifying your credit mix and how exactly it can serve to enhance your creditworthiness will be illustrated below in this write-up.

Credit mix refers to what type of credit accounts you carry, i.e., secured credit accounts (car or house loans) and unsecured credit accounts (credit cards). Credit mix balance refers to what lenders believe is an optimal customer, and it can greatly influence your credit score. It is believed that a diversified balance indicates that you are able to handle multiple debts responsibly.

A diversified credit mix is one of the advantages that no...