Before you qualify for a loan or a credit line from any source, the lender will be sure to check your credit history. When you receive "pre-approved" credit card offers in the mail, you can be sure that the company offering you the card has checked your credit first. If credit check s or inquiries are run too often on you, however, it can damage your credit history and limit your ability to borrow money or be charged a low interest rate.
Credit checks and inquires are done in two different ways, and only one of them actually affects your credit history. When you apply for mortgages, loans, or lines of credit and a credit check or inquiry is run because of your having applied, it will appear on your credit history.
The more you apply for credit, the more inquires that will be done, and the lower you credit score will go. It is wise to limit your credit applications because of the results they will have on your credit history.
Of course, it is always wise to look at various offers to find the best loan possible. When many mortgage or car loan related credit checks are run within thirty days of each other they are counted as one single inquiry instead of several separate ones. Consumers who are wise enough to shop around for a good loan are no longer punished on their credit history.
Credit inquiries and checks are also run on you by companies that have a permissible purpose as defined by the Federal Fair Credit Reporting Act. That means that, even though you are not aware of it, certain businesses have the legal right to check your credit.
Credit card companies, retail stores, and many other businesses that have a "permissible purpose" and want you to take money from them (for the right price) will pull your credit history to determine if you are eligible for one of their pre-approved opportunities. These inquiries will not affect your credit history or hurt your credit score, but they will show up on your report so that you will know who is looking into your business.
Another credit check that does not do any damage to your credit history is a check done by a prospective employer before they choose to hire you.
All credit checks done by businesses are reported so that you can be aware of them. Only the credit checks that you authorize by applying for credit lines and loans are able to damage your credit history. - 16928
Credit checks and inquires are done in two different ways, and only one of them actually affects your credit history. When you apply for mortgages, loans, or lines of credit and a credit check or inquiry is run because of your having applied, it will appear on your credit history.
The more you apply for credit, the more inquires that will be done, and the lower you credit score will go. It is wise to limit your credit applications because of the results they will have on your credit history.
Of course, it is always wise to look at various offers to find the best loan possible. When many mortgage or car loan related credit checks are run within thirty days of each other they are counted as one single inquiry instead of several separate ones. Consumers who are wise enough to shop around for a good loan are no longer punished on their credit history.
Credit inquiries and checks are also run on you by companies that have a permissible purpose as defined by the Federal Fair Credit Reporting Act. That means that, even though you are not aware of it, certain businesses have the legal right to check your credit.
Credit card companies, retail stores, and many other businesses that have a "permissible purpose" and want you to take money from them (for the right price) will pull your credit history to determine if you are eligible for one of their pre-approved opportunities. These inquiries will not affect your credit history or hurt your credit score, but they will show up on your report so that you will know who is looking into your business.
Another credit check that does not do any damage to your credit history is a check done by a prospective employer before they choose to hire you.
All credit checks done by businesses are reported so that you can be aware of them. Only the credit checks that you authorize by applying for credit lines and loans are able to damage your credit history. - 16928
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Are you tired of struggling to keep up with your credit card balances? Learn how to deal with excessive credit card debt on the Debtopedia website. Visit http://www.debtopedia.com for a free copy of my "Secrets Of Credit Card Debt" report.
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