cancel
Showing results for 
Search instead for 
Did you mean: 

Does a hard pull lower credit score a lot?

Contributor

Does a hard pull lower credit score a lot?

Looking for an auto loan, and I want to go ahead and apply for a loan so I know what price range to look in based on interest, etc. The issue is, I also might want to try to take advantage of dealer financing later, but if I apply now I will have a HP when I go to the dealer. How much will it lower me? My Wal-mart FICO is 770, my Credit Karma FAKO is 764 and says that I have a utilization of 3%, 100% on time payments, and 4 hard credit inquiries in the last 2 years.




Starting Score: 583 (CreditKarma, 2009)
Current Score: 783 (Walmart Free FICO, March 20, 2012), 774 (Equifax, BoA Pull, 2/20/13)
Goal Score: 800+


Take the FICO Fitness Challenge
Message 1 of 16
15 REPLIES
Contributor

Re: Does a hard pull lower credit score a lot?

Its hard to say since it varies. I had 1 HP last month and I dropped 6 pts but 2 recently and didn't drop any.

Just know with a car loan if going through a dealer they may try several different banks, so be prepared for multiple HPs.
........???................659 (FICO)................659 (TU08) ........
Message 2 of 16
Senior Contributor

Re: Does a hard pull lower credit score a lot?


TravisD wrote:
Its hard to say since it varies. I had 1 HP last month and I dropped 6 pts but 2 recently and didn't drop any.

Just know with a car loan if going through a dealer they may try several different banks, so be prepared for multiple HPs.

Yes, but those pulls will only be scored once (provided they are coded correctly).  OP, just time it so that you are going to the auto dealer fairly soon after apping with your bank/CU.  All auto inquiries within a short time (45 days?) are scored as one inquiry.  Each inquiry will appear on your report, but they will be scored as one.

An inquiry typically only dings you for a couple points.  If you are approved for a loan, you end up losing a few more points because of the new account and the lowering of your average age of  accounts.  Though sometimes, if you have a thin file, the new account might help you if it improves your mix of credit.


Starting Score: ~500 (12/01/2008)
Current Score: EQ 681 (04/05/13); TU 98 728 (01/06/12), TU 08? 760 (provided by Barclay 1/2/14), TU 04 728 (lender pull 01/12/12); EX 742 (lender pull 01/12/12)
Goal Score: 720


Take the FICO Fitness Challenge
Message 3 of 16
Super Contributor

Re: Does a hard pull lower credit score a lot?

Shop around and ask the dealer before he pulls who he will pull. I once had a dealer pull 5 HP form various BMW financial options BAD

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?
Message 4 of 16
Contributor

Re: Does a hard pull lower credit score a lot?

I guess mine was "coded" incorrectly since I got 4 hard inquiries. Smiley Sad
........???................659 (FICO)................659 (TU08) ........
Message 5 of 16
Senior Contributor

Re: Does a hard pull lower credit score a lot?


TravisD wrote:
I guess mine was "coded" incorrectly since I got 4 hard inquiries. Smiley Sad

No, as I stated, each inquiry will appear on your report.  FICO's algorithm, however, will recognize them as auto inquiries and will only score one of them.


Starting Score: ~500 (12/01/2008)
Current Score: EQ 681 (04/05/13); TU 98 728 (01/06/12), TU 08? 760 (provided by Barclay 1/2/14), TU 04 728 (lender pull 01/12/12); EX 742 (lender pull 01/12/12)
Goal Score: 720


Take the FICO Fitness Challenge
Message 6 of 16
Mega Contributor

Re: Does a hard pull lower credit score a lot?

INQ'S are 10% of your fico score. 1 or 2 isnt a big deal but you do not want a large amount of recent INQ's it can drop your score a little but the older the inq's age the lesser the effect on your scores. Same applies for new accounts.



EQ FICO 548 3/3/16
Message 7 of 16
Super Contributor

Re: Does a hard pull lower credit score a lot?

Each case for a HP is different I had 2 pulls on dec.31 and scores didn't go down at all as a matter of fact EX jumped 10 pts next day!!!!!!  figure that one out

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?
Message 8 of 16
Regular Contributor

Re: Does a hard pull lower credit score a lot?

Score goes down 4-6 pts nothing to worry about, now if you get approved, it will go down even more when the card or whatever you are getting reports, but the score will jump back up in about 3 months give or  take depending on your credit file.

BOA Cash Rewards Visa Sig. 12K; BOA Travel Rewards Visa Sig 5K, US Bank Cash+ 11.5K, AMEX BCE 6200, AMEX BLUE Sky 7K, Chase Freedom Visa Sig. 5400, Fort Knox FCU Visa Platinum 2500; CAP ONE Cash Rewards WORLD MC 5K

Starting Score: 580
Current Score: 747
Goal Score: 800+


Take the FICO Fitness Challenge
Message 9 of 16
Valued Contributor

Re: Does a hard pull lower credit score a lot?

The last hard pull I had was last September after an evening of drapping for HP CLI's.  I had two inq's on EQ and my score dropped by 20 points.  I've read that the effect of new inq's or new accounts can depend on FICO's algorithmic "bucketing".   I'm guessing that the bucket I'm in doesn't have too many people getting inq's and new accounts, hence the dramatic score drop.   

EQ Fico 8 - 846
TU Fico 8 - 848
EX Fico 8 - 836
Message 10 of 16