Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Auto Loans
Profile Image

Question By
Boringo85

0 Contributions
0 People Helped
Dealership asking me to do their on-line pre-approval. buying in 3 months. Will this hurt my credit?
I know the year, model and price of the used (CPO) car that I want and the dealership website is always asking me to do their on-line pre-approval form so I know how much car i can afford. Will doing that put a hard inquiry on my report that will count against me? Also, I am not planning to purchase the car for another three months when the price drops a little more, how long to pre-approvals usually last for (the dealer is Infinity)? My credit was horrible this time last year (560) but now CK shows me at 730.

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
24 Contributions
10 People Helped

Depends

If their site asks you for your SSN, then it will most likely result in a hard inquiry.

If they just ask for your name, income and proof of income, then it "most likely" won't result in a hard inquiry.

Top Contributor
935 Contributions
132 People Helped

Generally, although not cast in stone, most auto financing and dealers do not pull soft inquiries. They usually do the hard pull.   Then, depending on what they find for their primary vendor, they'll be quick to perform a second for the actual  finance company.   Pulls that they do today will not be valid when you go back in 3-4 months for the actual application and they will be pulled again.   These second pulls will not be consolidated with the first pulls as they were not in close proximitiy which is usually considered 30 days for auto finance shopping.   Skip the prequalification unless it clearly shows on the web page that it is a soft pull and will not affect your credit score.   Then, print out a copy of that page in case it was wrong so you can use it in a dispute of the inquiry.   Even when at the dealership, you can come to an agreement of how many pulls they are allowed to perform and you would both sign this agreement.   Your sales person will be hesitant, although,  they can enter into such an agreement and you can hold them accountable.  Verbal agreements are non binding as there is no substantiation of the agreement.

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.