Will Requesting Copies of Your Credit Report Hurt Your Credit Score?
If you want to buy Steamboat Springs, CO real estate, how many mortgage applications can you fill out before it affects your FICO score? In this new era of tightening credit standards, financing Steamboat real estate may require a little more patience than it did six months ago. It is important to understand what you can do to get the best rate and best terms if you plan on financing your Steamboat Springs ski condo or vacation home.
There are two types of credit inquiries–
- “soft” inquiries–prospective employers or insurance companies who want to check your credit score, or companies offering pre-approved credit and
- “hard” inquiries–when you fill out an application for a Steamboat Springs mortage or car loan and your score is pulled.
Soft inquiries should not hurt your score. Hard inquiries can lower your credit score, so talk to your lender(s) for advice.
According to Fair Issac, maker of the FICO score, FICO scores “ignore all mortgage and auto-loan inquiries made in a rolling 30-day period prior to scoring and typically counts mortgage and car-loan inquiries older than 30 days as one inquiry when they are made within a 45-day period.”
One more thing–when you apply for a mortgage, one thing you want to avoid is opening any other accounts until closing. This includes car loans, interest-free loans by stores such as Home Depot, and credit cards.
–Information from WSJ “Ask Personal Journal” 8/8/07