Hard InquiryCredit Repair Definition
A formal credit check that occurs when you apply for new credit.
Definition
A hard inquiry, also known as a hard pull or hard credit check, occurs when a financial institution such as a lender or credit card issuer checks your credit report as part of their decision-making process for a credit application. Hard inquiries require your permission and can slightly lower your credit score, typically by 5-10 points. They remain on your credit report for two years but only affect your score for about 12 months. Multiple hard inquiries in a short period can indicate credit-seeking behavior and may cause a more significant drop in your score, though credit scoring models typically account for rate shopping by counting multiple inquiries for the same type of loan (like a mortgage or auto loan) within a 14-45 day period as a single inquiry.
Frequently Asked Questions
What's the difference between a hard inquiry and a soft inquiry?
Hard inquiries occur when you apply for credit, require your permission, and can impact your credit score. Soft inquiries happen when you check your own credit, when companies pre-screen you for offers, or for account reviews by existing creditors. Soft inquiries don't affect your credit score and are only visible to you, not to lenders.
How many points does a hard inquiry lower your credit score?
A single hard inquiry typically lowers your credit score by 5-10 points. However, the impact varies based on your credit profile. People with few accounts or short credit histories may see a larger effect. The impact diminishes over time and disappears after 12 months, though the inquiry remains on your report for 2 years.
Can I remove hard inquiries from my credit report?
You can only remove hard inquiries that were made without your permission (fraudulent inquiries). Legitimate hard inquiries cannot be removed and will remain on your credit report for 2 years. To dispute unauthorized inquiries, contact the credit bureaus directly.
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