topic Re: Hard Inquiry on Pre Approval in Credit Cards

Hard Inquiry on Pre Approval

us-east-nomad — Fri, 23 Jun 2023 16:28:09 GMT

Hi there,

Recently Penfed has given options to see if you Pre Qualify for there credit card.

Few days back I initiated an application using pre-qualify option but my application was put in review. They say to contact me within 24 - 48 hours for more information or a decision on your application. My application is still in review and didn't hear back yet though 3 working days has passed.

After a day I got a notification from myFICO that there was a hard inquiry from PENTAGON FCU-ALEXANDRIA. Not sure why they need to do a hard inquiry for pre-approval?

Do you guys have any idea or insight on recent Penfed pre-approval?

Thanks

Re: Hard Inquiry on Pre Approval

Brian_Earl_Spilner — Fri, 23 Jun 2023 19:27:53 GMT

It seems that if you log in to prequalify they actually submit an app. Think that's what happened to me.

Re: Hard Inquiry on Pre Approval

Jeffster1 — Fri, 23 Jun 2023 19:58:33 GMT

Penfed is a MESS.

Re: Hard Inquiry on Pre Approval

us-east-nomad — Fri, 23 Jun 2023 20:16:47 GMT

This is misleading. I would ask them to remove it, why they initiate it without my approval.

Let's see whether I got approved or not.

Re: Hard Inquiry on Pre Approval

K-in-Boston — Fri, 23 Jun 2023 20:40:11 GMT

Unless I am misreading your post, this sounds like a normal credit card application. My understanding is that you were pre-qualified for a card, you completed an application for the card, they performed a hard inquiry, and then your application was flagged for review. If that's the case, that's generally how a prequalification with most lenders works (with it either being approved or denied, and sometimes with a brief stop for review before one of those results). If this was the process, they definitely had permissible purpose for a hard inquiry. Can you clarify if that is the case, or if there is something I'm missing?

Re: Hard Inquiry on Pre Approval

us-east-nomad — Fri, 23 Jun 2023 20:52:54 GMT

Thanks for asking.

Let me clarify: I haven't initiated a credit card application but started a process to check whether I pre-qualify or not.

I think Penfed has added this recently. So the hard inquiry appeared after I initiated this pre-qualification process. Which should only do a soft pull instead of a hard pull.

I cannot attach a screenshot as I don't see the option to attach an image. But here is a screenshot link: https://imgur.com/a/Z0txcDE

Re: Hard Inquiry on Pre Approval

K-in-Boston — Fri, 23 Jun 2023 21:01:07 GMT

Yeah, if you clicked "See If I Pre-Qualify," that definitely should not have resulted in an actual application with inquiry. ("Apply Now" below it should.).

Re: Hard Inquiry on Pre Approval

Brian_Earl_Spilner — Fri, 23 Jun 2023 22:42:00 GMT

@K-in-Boston wrote:
Yeah, if you clicked "See If I Pre-Qualify," that definitely should not have resulted in an actual application with inquiry. ("Apply Now" below it should.).

The problem is it will ask you to log in during prequal, which is what I did. It ended up being an actual app.

Re: Hard Inquiry on Pre Approval

FireMedic1 — Sat, 24 Jun 2023 09:55:19 GMT

@Jeffster1 wrote:
Penfed is a MESS.

Dont see any of their cards in your siggy. How did you come to that conclusion?

Re: Hard Inquiry on Pre Approval

FireMedic1 — Sat, 24 Jun 2023 09:56:30 GMT

@us-east-nomad wrote:
Thanks for asking.

Let me clarify: I haven't initiated a credit card application but started a process to check whether I pre-qualify or not.
I think Penfed has added this recently. So the hard inquiry appeared after I initiated this pre-qualification process. Which should only do a soft pull instead of a hard pull.

I cannot attach a screenshot as I don't see the option to attach an image. But here is a screenshot link: https://imgur.com/a/Z0txcDE

@us-east-nomadOnce you lose your "New" badge. Your siggy settings will open up. Wont take long. Welcome BTW!

Re: Hard Inquiry on Pre Approval

markhs777 — Sat, 24 Jun 2023 21:13:48 GMT

You are 100% correct. Checking for a pre approval should not result in a hard pull.

I've done this this and and get letters about my "application" but no hard pull. You can bet if I did there would be trouble in River City. In fact I still have two open applications on the website from months ago.

Re: Hard Inquiry on Pre Approval

GZG — Sat, 24 Jun 2023 23:19:46 GMT

I thought for those people where it specifically bugged out when they did the pre-qualification, those all ended up in approvals.

I fortunately was able to merely get denied without a HP when I tried when I did the pre-qual when it released awhile back

Re: Hard Inquiry on Pre Approval

us-east-nomad — Fri, 18 Aug 2023 04:20:40 GMT

Sharing an update:

I have called PenFed helpline to launch a complaint and asked them to review my request and remove this illegitimate hard inquiry. As I have initiated the process for pre-qualification which should have resulted in soft pull.

After doing an investigation for 7-10 days (not sure what they have investigated) they responded with a letter stating to decline my request for removing the credit inquiry. Although my request was to investigate why applying for pre-approval has resulted in hard inquiry instead of removing hard inquiry. I plan to visit one of their branches to discuss and escalate this matter.

Re: Hard Inquiry on Pre Approval

coldfusion — Fri, 18 Aug 2023 13:08:36 GMT

File a complaint online with the NCUA that the inquiry was made without permissible purpose and therefure needs to be withdrawn because you clearly folowed the correct steps to check for a simple preapproval for a credit card, not an application for credit, and PenFed did not disclose before the request that the preapproval would lead to an inquiry.

Use the exact word "withdrawn" and not a synonym or other alternate phrasing as In this context "withdrawn" has a special and specific meaning that defines the exact process to be followed which leads to the inquiry being removed in its entirety.

Unless for some bizarre reason the NCUA were to decide your complaint were frivolous it will almost certainly get PenFed C-suite visibility.

Re: Hard Inquiry on Pre Approval

us-east-nomad — Sat, 19 Aug 2023 03:41:35 GMT

Thanks for the suggestion and the guideline for the complaint. I will raise a complaint with NCUA.

Re: Hard Inquiry on Pre Approval

DatBoiQuick — Sun, 20 Aug 2023 23:44:03 GMT

If thats the case you might as well apply at that point.

Re: Hard Inquiry on Pre Approval

us-east-nomad — Sat, 02 Nov 2024 20:51:07 GMT

Any one recently used Penfed pre-approval tool with only a soft pull of credit report?

I checked few months back with a lock on my credit report and I got email from Penfed syaing my credit report is locked.