One sure way to lower have your credit score lowered and louse up your chances of getting a loan is from excessive inquiries on your credit reports.
Every time you apply for credit or a new loan an inquiry is performed and your credit history is pulled by the lender. All of the lenders that have pulled your credit report recently will show up on the credit report.
This is information that will stay on your credit history for two years.
You can dispute the information regarding the inquiries and ask the credit bureaus to verify all of the names listed as inquiries and prove that you gave them the authorization to review your credit history.
The credit bureaus refer to these inquiries as either "Hard" inquiries or "Soft" inquiries.
Let's look at both of them:
1. "Hard Inquiries".
The hard inquiry is when you give authorization to a lender to view your report whenever you apply for a loan. This inquiry will have an affect on your score.
2. "Soft Inquiries".
The lender or creditor orders your credit report to qualify you for a special offer. This does not affect your credit score.
Important things to remember !
Whenever you shop for things like a car or a house and seek a loan, the broker or car dealer will run your cfredit report several times in the search for different finance companies. The credit scoring system accepts this practice this and allows a grace period of around two weeks or so for you to shop for a loan.
Inquiries made within a 14 day period are considered as one. Try and get your finances taken care of within that time frame or all of those inquiries
will work against your credit score.
If you have too many inquiries on your report taken out in a short period of time they'll be listed on your credit report, and this can send a sign to the lenders that you are in a financial mess. It also says that you're being denied credit.
When four or more inquiries appear on your credit report within a two month period, a message of "Trans-Alert" is listed on your credit report and this tells your creditors that you've applied for credit to an excessive degree.
Nough' said !!!
Watch out !!!
Protect your credit !!!
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