topic Re: Multiple inquires for auto loan in General Credit Topics

Multiple inquires for auto loan

falzool — Mon, 31 Mar 2014 23:11:23 GMT

So I went to 2 banks so far bank of america and DCU and requested auto loans. If I was to try to request them again would it keep effecting my credit or would it all be counted as 1 inquire or would each bank put another inquire on my credit report?

Re: Multiple inquires for auto loan

falzool — Tue, 01 Apr 2014 14:27:41 GMT

Does anyone know the answer?

Re: Multiple inquires for auto loan

Gunnar419 — Tue, 01 Apr 2014 14:42:30 GMT

In theory, all inquiries for auto loans made within a certain time (varies by scoring model, anywhere from 15 to 45 days), all the auto inquiries would be scored as one.

In reality, they can still hit your score, as lenders may code them improperly. Also, they could hurt your ability to get instant approvals on credit cards, but on a manual review a cc company could see that the multiples are for one auto loan and not a frenzy of credit seeking.

Re: Multiple inquires for auto loan

Gunnar419 — Tue, 01 Apr 2014 14:43:42 GMT

Also, to clarify, they will SHOW as multiple inquiries no matter what. How they're scored or considered by creditors is the only issue.

Re: Multiple inquires for auto loan

pizzadude — Wed, 02 Apr 2014 16:34:39 GMT

+1 to the above comments.

In some cases you could be denied by other creditors for excessive inquiries, however you should be able to recon, due to the fact that you were shopping for an auto loan.

Re: Multiple inquires for auto loan

Anonymous — Thu, 03 Apr 2014 21:31:39 GMT

Let the record state that i was dinged with THREE HPs 2 years ago from the same day for an auto loan (3 different dealers)

Re: Multiple inquires for auto loan

VirtualCuriosity — Fri, 04 Apr 2014 02:50:40 GMT

Yes, I will add that the dealership I went to talked me into letting them try different lenders (ended up with 5) because I came in with my own funding and they were certain they could get a better rate (French for, they wanted to use one of their lenders). Now my TU dings me for excessive inquiries.

Re: Multiple inquires for auto loan

takeshi74 — Fri, 04 Apr 2014 12:29:35 GMT

@falzool wrote:
Does anyone know the answer?

If responses aren't fast enough you can also refer to existing threads. This is a fairly common topic:

https://www.google.com/search?q=multiple+auto+loan+inquiries+site%3Aficoforums.myfico.com&oq=multiple+auto+loan+inquiries+site%3Aficoforums.myfico.com&aqs=chrome..69i57.12144j0j7&sourceid=chrome&espv=210&es_sm=122&ie=UTF-8

Re: Multiple inquires for auto loan

Revelate — Fri, 04 Apr 2014 20:03:54 GMT

@VirtualCuriosity wrote:
Yes, I will add that the dealership I went to talked me into letting them try different lenders (ended up with 5) because I came in with my own funding and they were certain they could get a better rate (French for, they wanted to use one of their lenders). Now my TU dings me for excessive inquiries.

For what it's worth I will always let the dealer try to beat my pre-arranged financing.

Even if a slew of inquiries get mis-coded, it just isn't that big of a deal in the algorithm. It is similar to the revolving utilization issue, if you're not applying for anything, it really doesn't matter... and moreover, if you're not using your report, you're wasting it as a resource.

Any underwriter with more than a week's experience will be able to see that it was all auto shopping, just some automated systems might miss it, hence the recon requirement people suggested. Getting dinged for excessive inquiries is one of those catchall reasons that even people with 800 scores and 1 inquiry get, not one of the elephant in the living room reasons... personally I'd love if I had ever had that one on my own "reasons your score isn't as good as it could be!" listing. .

Re: Multiple inquires for auto loan

VirtualCuriosity — Sat, 05 Apr 2014 18:59:09 GMT

@Revelate wrote:
@VirtualCuriosity wrote:
Yes, I will add that the dealership I went to talked me into letting them try different lenders (ended up with 5) because I came in with my own funding and they were certain they could get a better rate (French for, they wanted to use one of their lenders). Now my TU dings me for excessive inquiries.
For what it's worth I will always let the dealer try to beat my pre-arranged financing.

Even if a slew of inquiries get mis-coded, it just isn't that big of a deal in the algorithm. It is similar to the revolving utilization issue, if you're not applying for anything, it really doesn't matter... and moreover, if you're not using your report, you're wasting it as a resource.

Any underwriter with more than a week's experience will be able to see that it was all auto shopping, just some automated systems might miss it, hence the recon requirement people suggested. Getting dinged for excessive inquiries is one of those catchall reasons that even people with 800 scores and 1 inquiry get, not one of the elephant in the living room reasons... personally I'd love if I had ever had that one on my own "reasons your score isn't as good as it could be!" listing. .

Yeah, I'm not really mad that they wanted to see if they could get a better rate. I was just mad that there was one particular creditor that I asked them not to try because I would refuse to do business with them, but they did anyway.