Comments on: Will applying for car loans with multiple lenders hurt my chances of getting a loan? http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/ Free Consumer Lending Resource Tue, 22 May 2012 03:31:46 +0000 http://wordpress.org/?v=2.7 hourly 1 By: cap http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-452 cap Mon, 19 Jan 2009 02:42:04 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-452 no-you are allowed to shop for rates in a timely manner no-you are allowed to shop for rates in a timely manner

]]> By: geo.karma http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-451 geo.karma Sun, 18 Jan 2009 12:59:12 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-451 Yes, it is true. Your FICO credit score depends on several factors. Businesses can inquire about your credit report. In addition, you, yourself can check your credit report. Neither of these checks negatively impact your score. However, about 10% of your score is based on inquiries performed when applying for new credit (such as, a new car loan) and this is also sometimes called a 'hard pull' of your credit report. When you apply for new credit (a credit card, any type of loan, mortage), your lender(s) pulls your credit report and scores to check your credit and each credit bureau (equifax, experian and transunion) documents the pull. Also, if a dealership checks your reports, that will also count as a hard pull on your credit file. If you have too many pulls in a short period of time (say one month), then it may look like you applying for too much credit and your FICO score will drop. In general, when shopping for new credit or when planning to make a large purchase, it's best to do all your shopping within a 2 week period. If you do this, then each credit bureau will only count the multiple inquiries as one inquiry. FYI - Inquiries remain on your report for 2 years, so you don't want too many showing up at once because it affects your credit score for a long time. Another word of advice. It's probably better to get approved for the auto loan first. It gives you A LOT more leverage at the dealership. It also helps to access your reports and scores yourself. That way, you can print and bring them to the dealership and show them your scores and they won't have to pull them. Yes, it is true. Your FICO credit score depends on several factors. Businesses can inquire about your credit report. In addition, you, yourself can check your credit report. Neither of these checks negatively impact your score. However, about 10% of your score is based on inquiries performed when applying for new credit (such as, a new car loan) and this is also sometimes called a ‘hard pull’ of your credit report.

When you apply for new credit (a credit card, any type of loan, mortage), your lender(s) pulls your credit report and scores to check your credit and each credit bureau (equifax, experian and transunion) documents the pull. Also, if a dealership checks your reports, that will also count as a hard pull on your credit file.

If you have too many pulls in a short period of time (say one month), then it may look like you applying for too much credit and your FICO score will drop. In general, when shopping for new credit or when planning to make a large purchase, it’s best to do all your shopping within a 2 week period. If you do this, then each credit bureau will only count the multiple inquiries as one inquiry.

FYI - Inquiries remain on your report for 2 years, so you don’t want too many showing up at once because it affects your credit score for a long time.

Another word of advice. It’s probably better to get approved for the auto loan first. It gives you A LOT more leverage at the dealership. It also helps to access your reports and scores yourself. That way, you can print and bring them to the dealership and show them your scores and they won’t have to pull them.

]]> By: SPIFIMAN1 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-450 SPIFIMAN1 Fri, 16 Jan 2009 00:27:52 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-450 Auto finance is what I do for a living and all inquiries made in a 14-day period are lumped together and only count as one, they all show but your score only gets dinged once. Same for when people are looking for a mortgage. Auto finance is what I do for a living and all inquiries made in a 14-day period are lumped together and only count as one, they all show but your score only gets dinged once.

Same for when people are looking for a mortgage.

]]> By: soft rockstar http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-449 soft rockstar Tue, 13 Jan 2009 17:11:00 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-449 Each time someone does an "inquiry" into your credit bureau, you're taking a 5 point hit on your credit score. Shopping around at 4 different places could possibly take 20 points off your credit score. Each time someone does an “inquiry” into your credit bureau, you’re taking a 5 point hit on your credit score. Shopping around at 4 different places could possibly take 20 points off your credit score.

]]> By: Scott M http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-448 Scott M Tue, 13 Jan 2009 15:21:43 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-448 No, it's not true, it's a ploy from lenders to get you to NOT shop around, unless you apply for loans from, lets say 20 places, and you do it a few times, you wont hurt your credit score. Just remember to pay the bill on time! No, it’s not true, it’s a ploy from lenders to get you to NOT shop around, unless you apply for loans from, lets say 20 places, and you do it a few times, you wont hurt your credit score. Just remember to pay the bill on time!

]]> By: taterbug5252 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/comment-page-1/#comment-447 taterbug5252 Sun, 11 Jan 2009 23:02:19 +0000 http://lendingproguide.com/will-applying-for-car-loans-with-multiple-lenders-hurt-my-chances-of-getting-a-loan/379/#comment-447 No, if you do it all in the same time period (no more than 2 weeks) No, if you do it all in the same time period (no more than 2 weeks)

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