Category Archives: Credit Inquiries

Credit inquiries- how they influence your credit score

Whenever you apply for any credit, your lender or credit institute investigates your credit file or report. Whatever you have requested for either it is a credit card, auto loan, home loan or for any other purpose, your credit score is checked thoroughly. They have right to ask you list of questions as they have to clear their doubts regarding if there are pending, late payments or any bad records. Well, this can easily be analyzed by having a look at your credit file. Credit inquires are basically divided into two types, one is soft inquiry and other is hard inquiry. There is a big difference among both of these inquiries and this greatly affects your FICO credit score.

Soft inquiries:

This kind of inquiry just involves your background check process. Soft inquiries are never included in your credit score. So you don’t have to stress upon about these soft pull inquiries causing any negative impact to your Fico credit rating. Soft inquires can occur without your permission and these lenders can per-approve your loan or give instant loan for your purpose.

Hard inquiries:

Hard inquiries greatly count towards your credit score. This should be minimal if you want your credit rating does not go down. If you are applying for loans like car loans, student loans, mortgages, then lenders or financial institutions might make multiple hard inquiries. However if your hard inquires are more then it may lower your credit score for couple of years.

To score good credit ratings you must pay off your left balances, avoid making late installments; don’t collect too many credit cards and many more. If you are able to maintain your credit score and reports in a desired way then you may not receive any surprises especially when you are planning for large purchases or loans. Still if you unable to maintain your credit ratings and have higher credit inquiries, you don’t have to panic. Get in touch with 700 Fico Club; we specialize in providing credit inquiry removal services. Our financial advisers will not only help you remove bad inquiries but they also boost your credit score. Call us and make an appointment with our experts or email us in case of any queries. We at 700 Fico Club assures you to provide right solutions for your needs.

The reasons your credit score fluctuates

Applying for a new credit

All credit cards have limits depending on how you use it. A new card may have a lower score. However, when you cancel all the past cards, it affects your score negatively. So, therefore, when applying for a new card, keep the limits in mind.

Payment history

You must repay your loans on time. Missed payments are recorded on your file for around seven years. So, therefore, make sure you never miss the date of repayment of your debt. Set monthly reminders for them so that you do not forget to pay the installment.

Bankruptcy

It can cause a detrimental impact on your file. So, therefore, it is advisable to seek help of an experienced attorney to make an informed decision as the bankruptcy can range from 7 to 10 years.

Credit card balances

Your credit card balance also influences your score. However, the balances on your card vary on a monthly basis depending on your utility. The less variable available balance is on the card, the greater is the credit utilization.

However, many individuals have several cards. Closing them without balances decreases your utilization. So, therefore, it is recommended to close down even if it holds zero balance.

Theft

Certain times despite of making payments on time, your score remains low. If such is the case, analyze the report. It may help you spot something unusual that may be causing a drastic change in your score. This can also be a simple mistake that can be corrected easily.

Length of credit history

The length of time a specific account is opened; including the time frame between the oldest to the newest account also affects it. If you are not using an account for a long time, it can drive your score low.

Time

If you are not using a credit card, get it closed as the companies might change some policies and cause a slight fluctuation in the score.

These are the reasons that may cause fluctuation in your credit score. For more information on credit score and ways to improve it, get in touch with 700FICO Score. Call us for details or email us your queries.

The ways to remove credit inquiries

A credit card inquiry is a record of any inquest made on your credit report by any entity. However, as per to the rules and regulations, a credit reporting agency has to maintain a record of these investigations for at least for 24 months.

The inquiries are of two types:

Soft inquiries do not hurt your credit score. It includes:

Investigations made through a court order or a personal level request for a copy of your report.
It also includes investigations made when applying for a job, home loan and auto insurance
Inquest with the purpose of account management

Hard inquiries

These are made by someone with permissible purpose to review your credit such as a prospective lender because you might have applied for a loan or any kind of financial assistance.

However, there will be lenders who will seek to view your credit report without any such purpose and your permission. These unauthorized investigations affect your score considerably. So, therefore, it is must to get them removed.

You can take certain measures like:

Send a letter to the lender requesting them to present a proof of your permission to review your credit report.
If they do not have a proof of it, send them a letter stating that the inquest was made erroneously.
If they do not take any action despite all this, explain them that they will be sued for violating the FCRA.
If the lender does not respond within 30 days, seek a counsel help immediately. Your lawyer will send them a forceful letter stating that if they fail to response, a strict action will be taken against them in the court.

However, if you get a positive response, make three copies of it and send them to each credit reporting agency. These agencies will verify the letter first and then remove the inquiry, and send you a copy of it.

If at any moment, you think you need professional assistance, you can resort to Credit restoration companies. You can look for them online or get their contact details from local directories. Choose the one that is experienced, reputable and reliable. Make sure you do not fall prey to fraud firms that use illicit methods to remove the inquiry.

For credit card inquiry removal services, get in touch with 700FICO Club. Get in touch with us for more details or email us your queries. We will be happy to help you.