How many points does each loan inquiry take away from your credit?
There are 2 types of credit "hits". A hard credit check in which
the"loan" company inquires about you to all the 3 major bureau"s .
This type of credit check takes away 4 points or so ( points that
take months to get back if you always pay existing loans or cards
on time ). A "hard" check is necessary when applying for personal
loans, mortages, major credit cards ect. A "soft" hit tkes away 2
or 3 points. A retail store credit card, a gas station card , a
cell phone account, ect ect. I also found out that NOT applying for
any credit ups your score by a few points every quarter.( hey; you
don"t even have to do anything). If you don"t pay your existing
cards on time that negatively affects your score by a few points. I
do know for sure that if you want any kind of a personal loan in
the future with a decent interest rate, you must have the "points"
to back you up. Anything less than 600 and you will be paying a
"loanshark" for years. (this is true for Canada)