“Inquiries On Credit Reports” Much Ado About Nothing?
We have many borrowers who are probably overly-concerned about Credit Inquiries from mortgage companies.
Mortgage credit inquiries affect credit scores much less than most people realize. The better one’s credit and credit scores are, the fewer inquiries affect a score. The effect can be anywhere from 1 to 5 points.
All mortgage credit inquiries within a 30 day period are treated as one inquiry. So 25 mortgage companies can check a borrower’s credit within 30 days, and the effect will be the same as if one company checked credit.
Also, mortgage credit inquiries have no effect on one’s credit score until 45 days after the inquiry date, per Ken Strey of Scorewell Inc. (Credit Repair Company).
Many borrowers see credit scores lower than they expect, and they automatically assume it was our inquiry that caused the lower score. In most cases, our inquiry had no effect on their score b/c we just pulled credit.
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