Can Someone Help With Credit Question?
It is my understanding that every time your credit is pulled a few points are deducted from your credit score. First of all, is this always true? Second, when shopping around for lenders your credit can be pulled several times which could add up to a signifigant deduction from your score. Is there any way to prevent this?
Thanks.
It is true that having your credit pulled constantly will lower your credit score. I read in a FICO pamphlet that if the credit is being pulled by a specific type of lender, for example mortgage lenders, there won't be a deduction for every instance your credit is pulled. I wouldn't chance it, though. One of the things that you can do if you still need to apply for credit is to purchase your credit report from one of the online services and then shop around with your credit information at hand. When you pull your credit, there is no point deduction to your credit score. Don't allow any prospective lender to pull your credit again and ask them to qualify you for their best deal based on your existing credit. Make it clear you are shopping around and do shop around. Pulling youir own credit may cost you between $9.95 to $29.95 but in my opinion, it is a good investment. Good luck!
When shopping around for rates.......you should know your credit score before going in.......be up front with the lender and tell them your score and your situation so as not to waste your time or theres....plus getting hits on your credit report.
I do the same thing when shopping for vehicles........all they need to know is a thumbnail view of my financial history...that I know myself.
PS. It wouldn't hurt to check out your credit report yourself to ensure there are no mistakes or issues that may bring your score down....if there is a problem then address it both with the lender as well as all three credit bureau's...
When shopping around for rates.......you should know your credit score before going in.......be up front with the lender and tell them your score and your situation so as not to waste your time or theres....plus getting hits on your credit report.
I do the same thing when shopping for vehicles........all they need to know is a thumbnail view of my financial history...that I know myself.
PS. It wouldn't hurt to check out your credit report yourself to ensure there are no mistakes or issues that may bring your score down....if there is a problem then address it both with the lender as well as all three credit bureau's...