I have often heard it said that the more people that look into your credit report the lower your score will become? If this is true how much is it affected? One point per hit? I ask because I have fair credit, I am applying for a car loan and shopping for car insurance quotes. Every car insurance company has asked permission to view my credit, and of course so are the loan companies. Is this adversely affecting my credit?
Is it true that any time someone looks at your credit report it suffers?
08
Jun
mcmdcak
June 8, 2010 at 6:00 pm
Multiple report requests for such in a 30 day period are scored as only 1 (request).
You won’t get “dinged” very much in your shopping quest – go get the best rates you can!
Good Luck.
Jeff
June 8, 2010 at 6:38 pm
You may lose a point or two from credit inquiries, but FICO has changed the formula so that several inquiries in a short period of time are now bundled together and only count as one.
The original FICO formula didn’t take into account the fact that several inquiries might just be someone shopping around for a deal. They assumed that you were looking for a lot of loans because you were deeply in debt.