Will Inquiries Lower Your Credit Score?

What are inquiries?

When you apply for credit the creditor or lender checks your credit report to verify that you measure up for the credit or loan you are applying for. The "inquiry" is then reported to the credit bureaus and shows up on your credit report.

Does this affect your credit evaluation or score?

Yes, it does. Although lone a few points are deducted from your score for each inquiry, having multiple enquiries may drop your score to a lower bracket, forcing a higher interest rate. You may not even measure up for the loan or line of credit at all.

Will requesting your credit report generate an inquiry?

This is a common misconception and is totally false. You should see your report at least once a month. Doing so will not generate any inquiries.

What if you did not authorise an inquiry, can you challenge it?

Yes. If you did not authorise any of the enquiries on your credit report you can and should challenge them. To difference enquiries obtain your credit report, then do a transcript of your credit report, highlighting the enquiries in dispute. Finally, direct the transcript of your highlighted enquiries along with a missive demanding the enquiries be deleted from your credit report to the credit bureau.

Is it deserving it?

The adjacent clip you are out shopping and the salesperson inquires you, "Would you like to apply for our credit line and have 15% off your purchase?" Ask yourself, "Is it deserving it?"