Hard Enquiries (Hard Credit Pull)

[Anonymous]

Hi All
This is related to Hard Enquiries (Hard Credit Pull) in my credit report.
I have 3 hard hard enquiries in my credit report. They are within two days (say 05/15/17 and 05/16/17).
They are results of my auto loan. It looks like dealer did those pulls, but I am not aware of with what banks he did pull.
I read somewhere that all 3 hard pulls are only related to one auto loan, so they have to consider it as only one hard pull.
Please let me know what law I need to tell to the credit bureaus, when negotiating with them.

[Anonymous]

What are you negotiating for with the credit bureaus?

If the inquiries are all coded as "auto loan" inquiries, they only count as ONE inquiry in FICO scoring if they're done in the same period of time (think it's 15 days, might be 30 for mortgage inquiries).

[Adkins]

When I did my auto loan, I got seven hard pulls to get the best lender. If you were buying a car and financing through the dealer, odds are you probably signed something to consent to the credit pulls. Discussing disputing accurate information isn't permitted on the forum. On the other hand, if you were just at the dealership and just talking about buying a car, and they pulled your credit without your permission, you can dispute those hard pulls from your report. 

[Anonymous]

Yes, I did not sign any paper. It is a discussion about interest rates. I am not aware at that time that he is pulling are permitting different lenders to do hard enquiry.

[Anonymous]

First I would contact the dealer by phone and tell them you did not sign any papers to approve of any hard inquiries and demand that they remove them in 5 business days.  Follow up that phone call with a letter to them stating that and send it CMRR (certified mail, return receipt requested) which costs about $6.65.

It's better to have the dealership remove them than dispute with the CRAs as an inquiry dispute can put a fraud alert on all of your reports and that can cause you issues getting approved if there's a fraud alert.

The inquiries should also have bank information and address and you could also write letters to the banks telling them you did NOT approve a credit inquiry.

[RobertEG]

In order to promote the timely consideration of credit and business transactions, the FCRA is constructed to avoid the need for express consumer authorization/approval of credit inquiries.

If the purpose for the inquiry is one or more of the listed reasons set forth in FCRA 604 (called "permissible purposes"), the party does not need any consumer approval.  The permissible purpose is provided by the type of transaction.

Consumer-initiated requests for credit or insurance provide automatic basis for a creditor or insuror to obtain your credit report.  They include a statement attesting to that permissible purpose when submitting the inquiry.

Similarly, even if not a request of credit, if the consumer inititiates a business transaction for which the business has a "legitimate business need" to consider your credit report as part of their consideration of the business transaction, that is also a permissible purpose that does not require express consumer approval.

If you are dealing with an auto credit transaction, dealers will shop around for rates, and thus commonly make several inquiries.

Each will legitimately show in your credit report, but for scoring purposes only, the FICO algorithm scores multiple inquiries made within a sliding window (usually two-months) as only one inquiry.  The CRAs are not involved in considering multiple auto, mortgage, or student loan inquires as only one inquiry;  that is strictly a function of the scoring algorithm, and not of only showing as one inquiry in your credit report.