Maintaining an acceptable credit score is critical for being able to take out loans and lines of credit. The first inkling that someone has a less-than-stellar score is typically when they are denied a loan for the first time.
One reason for a poor credit score is a high number of hard inquiries. Thankfully, there are legitimate credit repair programs offered by licensed credit repair companies that can help with these issues.
What Are Hard Inquiries?
A hard inquiry occurs when a person applies for a loan. The lender will typically ask for a social security number. This, along with a name and a date of birth, can be used to obtain a copy of anyone’s credit report. The act of pulling the credit report generates a hard inquiry.
The hard inquiry will then be listed on the credit report, along with the date it occurred. Typically, a hard inquiry isn’t a major problem for most individuals. The difficulties start when there are multiple hard inquiries over a long period of time.
Having multiple hard inquiries on a credit report is a red flag for lenders, especially if you also have a spotty credit history or maxed-out credit cards. This is also a red flag to the credit reporting agency.
A score usually fixes itself after a month or two of no additional inquiries. However, a few points can become a problem when there are ten or twenty inquiries. Those fifty points can easily tip someone into an undesirable credit score.
Lastly, there is an inquiry known as a ‘soft inquiry.’ When a credit card company sends a letter of pre-approval for a credit card, it is often the result of a soft inquiry. These do not show up on credit reports and contain very little information.
Disputing Hard Inquiries
One of the easiest ways to dispute a hard inquiry is by working with a certified credit repair company. People seeking a better credit score often wonder if credit repair services really work–yes, they do!
Most credit repair companies must have a qualified attorney on staff in order to do business. This level of credibility is crucial when disputing items on a credit report.
People looking to dispute items on their own may find it difficult, though not impossible. Disputing a hard inquiry involves contacting the credit reporting bureau. There are three in America–Experian, Equifax, and Transunion. All three must be contacted individually.
Next, a dispute must be filed regarding the hard inquiry. The credit reporting bureau will ask for documentation to support the dispute. This usually involves sending certified letters, which require signatures, and the process can take several weeks.
After a dispute is complete, the credit bureau will issue its verdict. The inquiry will then either be removed, updated with relevant information, or remain unchanged.
The Easy Road: Credit Repair Services
With accredited legal counsel on staff, credit repair companies such as The Phenix Group can easily assist in getting inquiries removed. We’ll examine your credit report side by side with you, looking for any inaccuracies that can be disputed. We can also help remove accounts from credit reports if they were made in error or are fraudulent.
With little more than a phone call, a credit repair company can help individuals and families get back on the right track. Once your credit score is restored, you can get the loans you need to realize your dreams.