When you apply
for a loan or a credit card, lenders check your credit. These inquiries
can put a temporary dent in your credit score. Start your loan search
by shopping and comparing rates rather than applying for a loan first
and deciding later. If you can do all your shopping within the same month,
all the better. Mortgage and auto loans are counted as one inquiry if
they fall within a 45-day period in the FICO scoring model.
Inquiries have the least impact as far as overall weight. Inquiries, types of credit and the number of loans you have play into the remaining amount of your score.
"I'm always amazed at how people tend to concern themselves
with someone making an inquiry when they should be focusing on their
payment history," McClary says. "I think if you want to stop solicitations,
opt out. But if the motivation for opting out is to have an impact on
your credit score, then it's not efficient." Save a few trees, opt out.
To opt out of unsolicited offers, visit OptOutPrescreen.com
or call (888) 567-8688.