topic Re: Preapproved Credit Cards Through the Mail in General Credit Topics

Preapproved Credit Cards Through the Mail

Kevinception — Tue, 16 Jul 2013 03:33:09 GMT

Hi everybody, first time posting and I've always wanted to ask this question on this site. I apologize if it has been asked before.

One thing I never understood is getting these preapproved messages through my mail. Recently over the past two months, I have received three of these pieces of mail; one for express clothing, one for discover, and one for American Express (although this is moreso an invitation to apply). My question is this; do these companies do soft pulls on your credit score to determine who to send these messages to? And if so, wouldn't this hurt your credit score?

Note: it does give me a number to call to opt out of these messages, but if these preapproved messages don't hurt my score, then I wouldn't mind getting them to see the deals and services each card provider has. Thank you.

Re: Preapproved Credit Cards Through the Mail

Anonymous — Tue, 16 Jul 2013 03:56:21 GMT

Soft pulls do not hurt your score and only you can see them.

Re: Preapproved Credit Cards Through the Mail

JonStur — Tue, 16 Jul 2013 14:44:55 GMT

You're okay, nothing to worry about. Getting lots of soft pulls and Pre-approvals means yare are handling your credit well and you should be pleased. I have 14 credit cards and still have tons of Pre's in my mailbox each week.

Re: Preapproved Credit Cards Through the Mail

RobertEG — Tue, 16 Jul 2013 17:31:41 GMT

Congress provided authority to creditors under the FCRA to make inquiry to the CRAs for a list of consumer names and addresses provided the creditor has established criteria for making them a "firm" offer for credit or insurance.

They do not get the consumer's full credit report, only a list of names and addresses.

Such inquiries are specifically barred under the FCRA from appearing in a consumer's credit report available to others, which is the definition of a "soft pull."

The exclsion from showing on credit reports available to others extends to those who do credit scoring, and thus such inquiries cannot, by statute, be included as part of your credit score.

The credtor hopes that the consumer will, upon receipt of their offer, make an actual application. If the consumer appllies, that is a consumer intitiatted request for credit that then gives them permissible purpose to obtain the consumer's entire credit report. That inquiry may then be shown as a so-called "hard" pull.

Re: Preapproved Credit Cards Through the Mail

takeshi74 — Tue, 16 Jul 2013 22:20:18 GMT

@Kevinception wrote:

I have received three of these pieces of mail; one for express clothing, one for discover, and one for American Express (although this is moreso an invitation to apply).

Keep in mind that preapproved and invited to apply or preselected to apply are very different things.