Effect of inquiry vs. Credit line increase

[Anonymous]

I just had a hard pull on my Experian report as a result of a recent Chase Sapphire Preferred application for which I was approved for a $15000 line. That being said, will the effect of the inquiry outweigh the substantial increase of my credit line with regards to my FICO score, or will each of these events balance each other out with no substantial effect on my score? Please advise.

[Anonymous]

It's not the inquiry that hurts, its the new account… but that's a huge limit I would take that every time no matter what the score drop is.

The problem with inquries is 2 - 3 isn't a lot but some places don't like four or five or six and no one knows with the cutoff is because that's not the only metric used. When you have a choice to sidestep one by all means do so but that is a solid account you just aquired, enjoy it.

[happypill]

It depends on what else is in your credit profile.  Biggest impact would probably be decrease in AAoA, which could cause your score to go down.  If you have fewer than 3 accounts then the additional account will help your score, however having new credit could hurt by a few points.  If you have high util or otherwise low credit lines, the new credit could improve your score by lowering your util (assuming you don't go and run up charges on it).  Inquiry is probably negligible to no effect, unless you had no inquiries before, then it could have some effect.  If you had 30 or even 10 inquiries before it would move your score at most by a few points.

So basically, impossible to say without better information.

[Anonymous]

I can't edit my post but I went on a huge application spree in early May. My score TU went down 33 points it is right back where it started after 2 months, that is more than 10 Inq and more than 10 new accounts

[Anonymous]

Thanks all.