Car Loan Inquiries - Help!

[Anonymous]

Hi,

I'm co - signing a vehicle for my younger brother, which I don't mind when it comes to making payments, etc etc. 

My concern is that the dealership ran my credit multiple times... 6 in fact. I knew they were going to pull it, but I was unprepared for the "shotgunning" effect. How will this affect my score? Even though it's rate shopping for a vehicle, won't these multiple inquiries affect my chances with applying for new credit cards, other loans, etc?

Any knowledge on the topic is helpeful,

Thanks!

[Anonymous]

https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Inquiry-Master-Thread-understanding-inqu...

The above post will tell you more than you want to know.

Here’s the short version: all installment inquiries performed within 45 days are counted as one for scoring purposes with fico. The one exception is EX2 where there is a 14 day de-duplication window.

Likewise the point loss does not affect you until 30 days after the first one.

Here is the caveat. When you apply for a card it’s typically decided by a computer that simply looks at the inquiry count and if it’s conservative they will deny you.

Depending on lender you can call in and point out the fact that it was from rate shopping and then they will typically do a manual overview. Some lenders like capital one will not do that so you will be scarred from them potentially.

[FeeBear]

Hey Matt,

      I think there are two things you can learn from this. 1) When possible bring your own financing. Credit Union or Bank. That way you have your credit run once or twice if you try different locations. 2) In most cases even though you see multiple inquires (each institution runs their own credit check) most lending institutions treat it as one general inquires. So it isn't treated like you applied to 5 or 6 different cars but rather like you stated a shotgun approach to getting the best deal.

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@Anonymous wrote:

Hi,

I'm co - signing a vehicle for my younger brother, which I don't mind when it comes to making payments, etc etc. 

My concern is that the dealership ran my credit multiple times... 6 in fact. I knew they were going to pull it, but I was unprepared for the "shotgunning" effect. How will this affect my score? Even though it's rate shopping for a vehicle, won't these multiple inquiries affect my chances with applying for new credit cards, other loans, etc?

Any knowledge on the topic is helpeful,

Thanks!

---

Fee

[Anonymous]

Thank you for the info. My score has dropped now a few points, I'm hoping that it will remain that way. I really don't mind the inquiries in the end, I guess. I'm just super anal about having them fall off my report and now there's a bunch of them. But in the end it's really no different than one inquiry w/the fact that they'll all drop together in two years.

Thanks for the info! 

[Anonymous]

Watch the 30th day from when the first was pulled and you’ll see the penalty, if it’s not binned.

[Anonymous]

And yes I had only unlocked one bureau and told them they had to get it from it. But bringing your own financing is always superior.

They’ll shotgun all three bureaus if you let them.

[Mv350]

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@Anonymous wrote:
And yes I had only unlocked one bureau and told them they had to get it from it. But bringing your own financing is always superior.

They’ll shotgun all three bureaus if you let them.

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+1 on this

End of 2018 I was hit for like 14 INQ's by a dealership. A few weeks ago I showed up with everything frozen and asked them which report they wanted, and unlocked that one. I was hit with 2 INQ, one was denied because it was frozen, and the other was the approval. 

I learned the first time 

[Anonymous]

Yeah I told him I already know my scores which ones do you use and I’ll tell you which ones the highest if that’s what you want they’re all in the high category so...

[Mv350]

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@Anonymous wrote:
Yeah I told him I already know my scores which ones do you use and I’ll tell you which ones the highest if that’s what you want they’re all in the high category so...

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I felt way more prepared to car shop after finding MF. 

[Anonymous]

Thanks for all the advice. I learned my lesson by not reviewing all these tips prior. He purchased the car from the dealer, so the damage is done. They pulled Equifax 4, trans 1, and Experian 3. I don't have desire of applying for any other loans or credit cards in the near future, but now I know better. I'll keep it posted here if my score dramatically changes. As of now it's been dinged a couple points, but nothing drastic.