Tuesday, September 1, 2009

"Inquiries" Why Does It Matter

What is the definition of an inquiry and what does it matter to the credit conscious consumer?

"CREDIT INQUIRY - An attempt to seek information concerning interest rates and the availability of funds without disclosing your identity, or specifying the need or purpose of the proposed borrowing, or the specifics concerning your creditworthiness."(www.lectlaw.com)

When you take into effect that a credit inquiry can effect up to 10% of your overall credit score you may want to start paying attention. A rule of thumb is to be careful with these inquiries not to accrue more than 4 every two years. If you need to shop for loans, as for a mortgage or some other large sum then try and have the inquiries occur within a 10-14 day period. After seeing thousands of credit reports I can tell you that those who limit their inquiries usually take care of the other aspects of their credit report.

To make it as simple as possible let me illustrate it like this. Imagine you are playing a game similar to 20 Questions. In this game however it is more like 4 Questions or 4 Inquiries.

Use them wisely -which means avoid giving your full name to used car dealers. They seem to have an affection of running your credit to see what mid sized sedan they can squeeze you into.


About This Blog

I previously worked for Lexington Law as one of their Senior Paralegals. I was involved directly in the credit repair process. I am now working directly with the companies who need their client’s credit repaired. Lexington offers many services to improve the credit report and score of your client. In many instances this is the difference of having a client be able to purchase your product.

I am located in Fayetteville and am more then willing to answer questions or even insights into general credit repair techniques. Please know that none of the services Lexington Law offers cost anything to you as the credit provider. We simply will be helping to expand your credit worthy clientele.

Please feel free to contact me with questions or have a client contact me directly. I will always direct the client back to you and your services once they are credit worthy. There is no cost to you or timely follow up.