The big moments in life tend to cause hard inquiries: applying for a mortgage, auto loan, or student loans all require creditors to check your credit and temporarily lower your credit score. However, if someone pulls your credit without your approval, it can lead to more inquiries and unfairly lower your score.
Working with the top credit repair companies, like The Phenix Group, can help you remove inaccurate or outdated hard inquiries and maintain a stable credit score. You can only remove outdated or inaccurate hard inquiries; credit bureaus will not remove accurate and timely hard inquiries.
We recommend working with a credit repair agency because if one credit bureau removes the inquiry, the others don’t have to. This may mean you need to file multiple disputes, which can be overwhelming and tedious.
What Is a Hard Inquiry?
A hard inquiry (also known as ‘a hard pull’) happens when you apply for a new line of credit, such as a loan or credit card. It indicates that a creditor has requested to inspect your credit file to determine the risk you pose as a borrower.
Usually, these take the form of auto loans, student loans, credit cards, or personal loans. They are also common if you are applying for a mortgage, as well. Hard inquiries are normal, but you want to avoid having many on your credit report because they can lower your score considerably.
Steps to Remove Hard Inquiries
If you’re trying to maintain a good credit score or you’re learning how to increase your credit score to 800, removing fraudulent, inaccurate, and outdated inquiries can give you the boost you need. Here’s how you can remove hard inquiries:
Check Your Credit Report for Inaccuracies
Most experts, including the Consumer Financial Protection Bureau, recommend you review your credit report annually to spot unexpected changes. A sudden drop in your score may mean there was an unauthorized pull on your credit.
Additionally, you should review your credit report from all three credit bureaus: Experian, TransUnion, and Equifax. This will help you cross-reference the information on your reports to spot inaccuracies or fraudulent activity quickly.
When reviewing your reports, focus on the hard inquiries. Look for any signs of a credit check that you didn’t authorize. If you find something suspicious, you need to:
- Note the name of the company conducting the hard inquiries you don’t recognize.
- Cross-reference those names on all of your reports to see if they line up.
- Note when each inquiry occurred.
- Note the inquiries that you authorized.
This is how you gather evidence for your dispute. The Phenix Group can help you quickly identify inaccuracies and suspicious activity on your reports and gather the evidence for you.
Contact the Company
Next, you need to contact the company or furnisher responsible for the unauthorized hard inquiries. In certain cases, they may remove the inquiries without a formal dispute submission. In case they don’t remove it upon contacting them, follow these steps:
- Contact the correct department or personnel responsible for credit report disputes.
- Send copies of your evidence of fraud or inaccuracies on the lender’s part.
- Express that you want them to remove the fraudulent or inaccurate inquiries.
If they still do not remove the inquiries, you will need to file a formal dispute.
File a Dispute
If you receive pushback in your request for removal, you still can push back with a formal dispute. By working with an expert at The Phenix Group, you can review your dispute options. Some lenders prefer a formal letter to be sent while others use online automation.
We recommend handling your dispute completely in writing. Lenders may want to conduct the dispute process over the phone for convenience, but this leaves you without evidence or records in case this escalates and requires legal action. Be sure to keep copies of every piece of written correspondence regarding the dispute.
Next, gather your evidence. You will need:
- Personal information, such as your name, Social Security Number (SSN), and date of birth
- Dates of all disputed inquiries and the date you sent your letter
- The reasons why the agencies should remove the inquiry
- Any related documents and evidence of fraud or inaccuracies
Next, you will submit your documentation to the relevant credit bureaus. Remember, mail and online submissions leave a paper trail that can keep everything in order.
Await the Bureau’s Verdict
The credit reporting bureaus are required to resolve your dispute within forty-five days. During this period, they will contact the lenders or furnishers to determine whether these inquiries are fraudulent. If they can’t verify the inquiry, they will likely remove it unless the furnisher maintains that it is valid.
In this case, it’s best to work with a credit repair agency so you can gain expert counsel or pursue legal action. For more information about removing hard inquiries from your credit report, contact The Phenix Group today for your free consultation!