Hard Inquiry

[Anonymous]

I'm about to apply for loan and was concerned about the number of pulls effecting Credit score. Its for an RV and I know the dealer pulls through Credco, also shopping rate with alliant credit union. Is it a good idea to both on same day where they see same score? If not how big of a hit would score take, especially if they dont lable the pull as a auto loan? Thanks!

[Anonymous]

If properly coded, all auto inquiries made within a few days of each other will be viewed/scored as 1 inquiry, so nothing to worry about there.

[pipeguy]

If I were you I'd try for a pre-approval through your credit union, it'll be one pull and if approved it'll probably be at a better rate than the RV dealer will offer - always a better choice is to have your own approved financing in your pocket before you sign on the dotted line for  a "vehicle" (cars, boats, RV's, Motorcycle, etc). 

If you some chance your CU won't approve you, yes you might get financed through the dealer at a higher rate (btw DCU and NFCU charge much higher rates for "toys" aka boat, bike, RV, versus their auto/suv loans). You can expect the dealer to shotgun your loan application meaning to send it out to a network of lenders each doing their own hard pull.  At the very least, print out your CU rates if you go through a dealer and tell them they have to beat the rate if they want your business. 

[Anonymous]

Excellent points. Right now dealer is claiming it will beat posted rate but feel I may want to get official approval from CU in case dealer fails to come through. If I go to them first not sure how much multiple pulls would effect prior to me getting to credit union. Alliant states they do one pull with trans Union which my score is 846

[pipeguy]

Do yourself a favor and get a financial calculator - online is fine cell phone app is better. There are very simple ones that let you plug in variables aka Principle, Interest rate, Length of a loan in months or years, Payment (I use one on my Samsung called FinCal3, don't have one on my iPhone office phone). I also use an HP-12c which will give you the same results but a few more steps. With a financial calculator, you can see overall interest, etc. so you can tell if the dealer is padding payments or giving you a true "simple interest" loan. 

BTW with your scores, you should get the very best rate from any lender, nothing less (meaning higher).