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New Member
Posts: 7
Registered: ‎04-18-2007
0

why do inquiries matter??

why does it matter in our FICO score for inquiries? I mean, if i want to shop a car/ home etc, im asking them to pull my credit - so i can see what they can give me...
soooooo why does it matter about all the inquiries, I have 15+ currently due to car/ home loan refi shopping....
can i get these deleted?
sarah
Moderator Emeritus
Posts: 5,436
Registered: ‎03-10-2007
0

Re: why do inquiries matter??



scrapbookaddict wrote:
why does it matter in our FICO score for inquiries? I mean, if i want to shop a car/ home etc, im asking them to pull my credit - so i can see what they can give me...
soooooo why does it matter about all the inquiries, I have 15+ currently due to car/ home loan refi shopping....
can i get these deleted?
sarah


 
Getting too much credit in too short a period of time has typically poited to a person who was in danger of overextending themselves.  I do agree with you though, regardless of what I'm shopping for I should be able to see which limits and interest rates I like best.  The thing is a lot of people kep every card they are approved for and don't know when to stop using them when they can no longer afford to.
 
:smileyvery-happy:  I made a major purchase on a new card and it really took me a minute to stop and think hey that's it for cards for hrre months while I pay off this 0 percent. 

Senior Contributor
Posts: 4,635
Registered: ‎03-11-2007
0
Moderator Emeritus
Posts: 2,050
Registered: ‎04-17-2007
0

Re: why do inquiries matter??

If you make all your credit applications for car loans within a two-week period, the FICO score is supposed to count them as a single inquiry.  Shopping for the best rates is encouraged.  However, if you apply for a car loan once a month, each application will count as a separate inquiry.  The same is true for mortgage applications.
 
10% of your FICO score is determined by "new credit."  If you are suddenly making lots of applications for credit, lenders worry that you are in some kind of trouble.  Or they think that creditors are denying you credit for some good reason, and you have to keep applying.  That's why a lot of inquiries can drag your score down.
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