Author Topic: Multiple credit pulls in a short period of time question  (Read 671 times)

Keyser_Soze

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Multiple credit pulls in a short period of time question
« on: November 20, 2019, 10:15:48 PM »
Background:  About 6 years ago I was shopping around to refinance my home. At that time I had a $20k credit limit on my Amex. I applied to multiple banks and credit Unions in a short period of time, trying to get the best rate. A few weeks later American Express lowered my limit to $2000, sighting that I was applying for two many lines of credit at once. I was under the impression that home re-finances were like home loans, but was mistaken. Amex took it as me applying for multiple credit cards, flagged me as a risk and reduced my credit $18,000. I was pretty pissed off.

Fast forward to today. I need a car loan for $20k. I read multiple sources stating auto-loans are also viewed like home loans, and multiple pulls in a short period will only count as one. Still cautious, I only applied to two credit Unions this time, both of which signed me up for a savings in order to apply, but I obviously only went with one for my car loan.

The week previous I signed up for a Capital One savings account to get a $200 bonus and 1.9% yield.

My question is, since savings/checking are soft pulls, and all of the above happened in a short period of time, will it all show as one 10-13 point drop on my credit report? Or does opening multiple checking/savings + an auto loan, mixing the two types of pulls, ding you even more?

TL;DR - I opened 3 savings accounts, and applied twice for a car loan within 14 days. How will this impact my credit? And if I open 2-3 more savings/checking accounts to get their bonus deals within these 14 days, will the credit bureaus see this as multiple inquiries or consider it all under the same 14 day “shop around” umbrella?
« Last Edit: November 20, 2019, 10:19:19 PM by Keyser_Soze »

CptCool

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Re: Multiple credit pulls in a short period of time question
« Reply #1 on: November 21, 2019, 11:56:29 AM »
Savings accounts do not count as inquiries and will not alter credit score. The car loans will be inquiries and both count as recent hard pulls against your credit score, but most banks have their own proprietary score and don't care when multiple inquiries are gathered for secured loans like a car or home.

Bottom line: your score will likely drop ~10 points in total from the inquiries, but will bounce back after 1-2 months. Don't sweat it at all. Credit score doesn't even matter for anything unless you're actively shopping for new loans and even then it doesn't matter after ~740