new BANK acct inquiry?

[Anonymous]

I plan on applying for a mortgage approx June 2010.  I am using the time from now until then to pay down debts and save more funds. I will have paid all cc debts by Feb 2010.  I know applying for new credit is a bad idea, but I did want to open CD accounts with a bank I do not already bank with.  My idea was to use the "extra" income toward savings I have inquired whether a credit check will be pulled and whether it will be soft or hard, but still wanted other advice.

So here's the question: 

If I apply and it is a hard pull, can I submit documentation to LO and underwriting that this inquiry was related to me saving money and not a request for credit?  If so, will it even matter what purpose the inquiry was for? 

Or maybe my brain is thinking too fast and I should just but the brakes on the plan until after closing on home. 

[hawkeye33]

My loan should emerge from UW before the end of this week, and according to my LO, everything is in order and it looks like I should soon have a loan commitment from the lender.

When I applied, around 30 days ago, they were looking at inquiries within the last 90 days, so I don't think you should have much to worry about. Certainly, an inquiry related to certificate of deposit should easily be explainable, if they in fact do show up as a hard pull.

[Anonymous]

So here is the answer I received from a representative at the bank:

Thank you for your inquiry.

Hudson City uses Chex Systems.  Whether its a hard or soft pull I could not tell you.  It all depends on the definition of those terms.  My guess is that it would be a soft pull.

So it's not reassuring at all that he has any idea of what he is talking about.  

Message Edited by tresa03 on 10-29-2009 11:30 PM

[Riann216]

I could be wrong but from my understanding Chex systems is only used to check if you have defaulted with a checking account.  It is not a credit pull but what banks report bad checks, unpaid overdrafts etc to.  That could be why the person didn't know what a hard/soft pull is.

[Anonymous]

His answer made me question whether he was 100% sure about the Chexsystems information. I had included this in my electronic inquiry, but am now wondering if I hadn't mentioned it by name, if he would have.