topic Re: Credit pull after authorization expired in Mortgage Loans

Credit pull after authorization expired

nc — Fri, 05 Oct 2012 13:40:18 GMT

I had to be approved by my lender’s mortgage company for them to start construction. Fine, I authorize them to pull credit clearly mentioning that this authorization is valid for 20 days only.

They pulled my credit again after 20 days, what are my options? How can I dispute?

They approved my loan and closing will be by end of year. I may not want to go with them because of higher closing cost.

Thanks,

Re: Credit pull after authorization expired

thankfulheart — Fri, 05 Oct 2012 13:51:56 GMT

I don't know that you can do anything about that. My lender pulled my credit at time of app, but it expired and had to be pulled again. They will also do another pull right before closing due to it being FHA. Can't be helped.

Re: Credit pull after authorization expired

nc — Fri, 05 Oct 2012 14:01:37 GMT

I am thinking to ask them to remove this unauthorized inquiry.

Otherwise, if it impacts my rate with another lender, the small claim court is the way to go.

Sounds meaningful?

Re: Credit pull after authorization expired

hendersj31 — Fri, 05 Oct 2012 15:17:27 GMT

Similar thing just happened to me. My loan officer just decided to do a hard inquiry after I made myself pretty clear I didn't want my credit pulled yet. I had it pulled by them a few months ago but could not find a house we loved. I had a conversation with the loan officer to make sure we were good to proceed in th eevent I see a home I want to move on. I provided current pay stubs etc.. and asked that my credit not be pulled yet. Anyhow the hard pull resulted in a too many inquiries on my credit report. Shame because the LO has been great so far. Does anybody know if this is acceptable? I plan to attempt to have the inquiry removed, to me it seems a reasonable fight.

Re: Credit pull after authorization expired

nc — Fri, 05 Oct 2012 17:31:17 GMT

Thanks!!

Not sure about success, anyone??

Re: Credit pull after authorization expired

thankfulheart — Sat, 06 Oct 2012 06:53:19 GMT

Disputing off an inquiry can be a tricky thing. You have requested credit, so they have a legitimite business purpose to pull your report. I've had hard pulls that should have been softs, some of which I was able to get retracted with much difficulty and letter-writing and some that I have not. I've been told not to worry about inquiries so much as they are a very small part of the score.

Re: Credit pull after authorization expired

nc — Sat, 06 Oct 2012 15:53:20 GMT

The time I requested credit I authorized them giving 20 days window to pull credit. I explicitly wrote “Authorization is valid for next 20 days” and they accepted it knowing they have 20 days.

My understanding is any credit pull by them after 20 days is unauthorized.

I have asked them to remove all or any inquires after authorization ends, will see what happens.

It is not the matter of how much score drops or gains after inquiry it is the matter of contract I signed with them.

Re: Credit pull after authorization expired

nc — Sun, 07 Oct 2012 16:42:15 GMT

WOW!!!

So many views and no comments.

Re: Credit pull after authorization expired

JM-AM — Sun, 07 Oct 2012 16:53:18 GMT

nc wrote:

WOW!!!

So many views and no comments.

Okay just a quick comment. You authorizing credit check for loan is just that an authorization. You giving a personal deadline for credit check is something you preferred which is not governed by state law. The laws of all states have different findings on credit checks and what is valid and not valid for authorization. I would be looking up the laws of the state and seeing what your rights are.

Re: Credit pull after authorization expired

nc — Sun, 07 Oct 2012 17:33:35 GMT

Thanks..

Not sure what is law in IL but I am not very happy about it...

Re: Credit pull after authorization expired

lrdwilder — Sun, 07 Oct 2012 17:39:12 GMT

As a comment I would also suggest that though you "authorized" them to pull for 20 days unless you have a properly executed agreement which both sides, meaning both you and the credit grantor signed (more importantly for you the credit grantor) that you are not going to be sucessfull as they could come back and say "by your authorization we pulled your credit report and although you stated a 20 day limit we never agreed to that therefor we followed our rights ect ect...."

I think you will be hard pressed to get this pull removed. Sorry :-(