Credit inquiries take place when you apply for a loan , a
credit card or an insurance policy and the lender checks your credit report to
assess whether to grant you the loan or not. Each time an inquiry is made by
the lender or outside companies it is recorded on the 3 credit rating bureaus.
Too many credit inquiries in a short period of time can hurt your credit score badly.
Credit inquiries remain in your credit report for a period of 2 years. There
are many other factors that reflect in your credit report which affect your
credit score adversely. So Before planning on the removal of your credit
inquiries first work on removing the major areas (i.e. is late payment history,
high debt –credit utilization ratio, collections etc) from your credit report.
Yes too many credit inquiries hurt your credit score to a
certain extent as they give an indication to the creditor that you are using
too much of credit and are financially
irresponsible.
Credit inquiries are basically of two types –One form is
hard inquiry which takes place when you make an application for new credit .The
other type of credit inquiry is soft inquiry which is the result of
A lender checking your credit report
You’re ordering of your own credit report
The main aim is not to remove all the credit inquiries from
your credit report but mainly those that are not authorized and sufficient
enough to not hurt your credit score is anyway.
Fast credit repair steps that you need to take for removing
credit inquiries from your credit report
The first step would be to inquire which credit inquiries
are hurting your credit score. This information is available in your credit
report .so Order your credit report from all the three credit bureaus. Look at
the inquiries section in your credit reports and search for inquiries that are
shown to the creditors.
The second step would be to look for the names and addresses
of the inquirers. Search for the inquirers in all the three credit reports.
The third step-Once you have collected the names and
addresses of the inquirers. You need to send letters to each of the inquiring
creditor requesting them to remove their inquiries.
The fourth step –Most inquirers will delete their inquiry as
they do not have evidence that proves your authorization. But there are many
creditors who have documents that prove that you had given an authorization for
a credit inquiry. In such a scenario you can inform the creditor that there
application form was highly complicated to be easily read and understood .You
can always threaten to file a complaint against the creditor to the state
banking commission for the deceptive form in case the creditor does not agree
to remove the inquiry.
In many cases there is a possibility that the inquirer might
ignore your mail and not respond in any way. Make sure that each of your
letters is sent through a certified mail and that you receive a receipt of the
letter being delivered to the inquirer. This will help in keeping track of the
date the letter was received by the inquirer. If the inquiring creditor does
not respond within a span of 30 days time ,you will have reason to call the inquiring
creditor and ask for removal of the inquiry .In case the inquirer does not
agree then you can threaten the inquirer of filing a complaint against him to
the Commission.
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