@MidnightJester wrote:In planning my credit growth I was wondering what is the difference in the data a Bank/Credit company recieves between a SP and HP?? Are they they same just one puts a mark on your credit file as "1" Inquiry?
No difference in information received; the difference is SP's aren't counted ("Inquiries only seen by you" or "Inquiries that do not impact your credit rating" in EQese) in the FICO algorithm. Lenders won't see SP's.
@Anonymous wrote:So why then do certain lenders do a triple hard pull?
If it was me, I'd do a random hard pull from one of the bureaus, along with a random soft pull from one of the other two.
When you are dealing in the subprime strata (Capital One) you're more likely to need to reach down to the subprime level of credit reporters, which often don't report to more than one bureau (furniture financing or what not).
They've undoubtedly found the the additional cost of doing a triple-pull gives them better resolution to assess their customers for risk leading to a less costs in consumer default rate.
It's purely a business / financial decision in the margins. Also to address your other point, I don't know if you're necessarily allowed to do a SP unless you have a business relationship with the customer already... it's a grey area, but any credit seeking should be a HP. If I were trying to build something more consumer friendly, if I could get away with a SP, I'd do so.