Are hard inqiure affect my credit score?
Date: Tue, 01/01/2008 - 17:57
Hard inquiries are the ones that you initiate by filling out an
Hard inquiries are the ones that you initiate by filling out an application for a new credit.
Take care
Nelly
I recently checked my credit report but I am not being able to u
I recently checked my credit report but I am not being able to understand that why the names of my insurance and credit card company appear under soft inquiries. I have one hard inquiry from a company that i don not remember doing any business.
Can anyone advice me why is it happening?
Do you remember applying for any credit around the time of that
Do you remember applying for any credit around the time of that hard inquiry? Maybe you don't recognize the name because it was a private label credit card -- for example if you applied for a Best Buy mastercard, then you would see HSBC listed as a hard inquiry because they actually issue and service the best buy accounts.
If you did apply for credit anywhere around that time, look on any paperwork you have to see if the inquiry name is mentioned anywhere in fine print. If you still don't know who they are, you can always write them a letter and ask them to either a) provide proof of your authorization for them to make an inquiry; or b) if they can't show you proof, then they should remove their inquiry from your credit. Their name and address should be listed under the inquiry; if not you can contact the credit bureau and they will give you that information.
As for the soft inquiries made by your insurance and credit card, those are permissible for "account review." As long as you ever have on-going business relationships with those companies, they can check your credit from time to time.
The credit cards will check your credit usually at least every 2 years to make sure you maintain a good credit history with all your other accounts -- ie if they see you're currently delinquent on a lot of your other accounts, that's a sign of financial distress and they will cut you off and close your account.
As for the insurance, they do use your credit to determine your premiums. Your policy may be up for renewal soon, and the insurance co is looking at your credit to determine your new rate.
