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Posted in Auto Loans
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Question By
sweetj1

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0 People Helped
New car loan. How do I get acceptance without incurring hard inquiries?
I ordered a new car last month. I have been pre-approved by credit union for a loan at 2.5%. I want a lower rate.
How can I solicite inquiries from loan companies without being penalized with hard inquires?

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Most Helpful Response

credit scores and recommendations?

Helpful to 162 out of 183 people

Caution people.....My credit score had dropped because of divorce, bankruptcy, etc. I watched as my score improved according to Credit Karma. So a couple if years ago, I decided to trade in my car because my score, according to CK, had improved and refinancing would make payments affordable. At the dealer I was so embarrassed when they couldn't provide me with a decent interest rate. I argued that my score was good...I checked!......but they disputed this saying my score was lower that I thought! So much for that.

Also, be careful when responding to the loan reconmmendations on this site.After receiving such a disappointing interest rate on my car loan a year and a half earlier, I figured I had earned a better rate by now...Wrong!  Since offers recommended by CK were "pre-approved", I believed applying was safe and I could refinance easily. All three recommended  immediately denied my application without even a courtesy phone call. I got generic rejection letters. So all I received was more hard inquiries which again lowered my score!    So, even though I enjoy CK free credit monitoring, I don't trust some of their advice............Be Careful!

Reply by
hockjock

2 Contributions
121 People Helped
Helpful to 51 out of 62 people

Credit Karma only shows you your Trans Union score.  Usually when you appply, the creditors look at all 3 scores and take the middle score as the average.  Register with Credit. com and they will show you the Experian score.  I'm still looking for a free site that will show you Equifax.

Reply by
TJR66

2 Contributions
8 People Helped
Helpful to 6 out of 8 people

Thanks for the Heads Up.

Reply by
13cmavts

1 Contribution
9 People Helped
Helpful to 9 out of 13 people

Same thing happened to me back in January!! 

Reply by
Nanee6

1 Contribution
0 People Helped

I fell for the same thing and applied for a recommendation as they worded it. I have spent years following ther recommendations and my score stays in the poor range  in the high 600's. When did the high 600's become poor??? It's all a scam to me, no matter what I do, pay trible what they ask per month or pay off the balance, haven't been late ona single card, loan or car payment in over 15 yrs.......yes 15 years!!! and I am still in the high 600's. I make 4,000 a month and pay our less than a quarter of that!!!  and you want to give me a credit card with 19% interest??????  PLEASE.......I have never had a credit union fgive me a loan for a car.....ever, a bank once and a year into the loan they sold it right out from nder me!!!! I ahave no faith in the credit scoring or bureau system.......Enter Your Reply

Reply by
maybeme

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0 People Helped

I agree with you too much. It is really a joke the way they just do what they want to make you feel good and do this and do that and get into debt more raises you score ., What a mess it is not a real world anymore. Out of debt but your score goes down  because you don't owl any one so      . Just let them do what they want to and as my friend did don't worry someone is willing to give you credit no matter what your score is an if to high don't pay it they cannot get blood out of a trunip 

Reply by
Raddaw

1 Contribution
0 People Helped

You are correct, same thing happened to me

Reply by
ptcpaul01

9 Contributions
1 Person Helped

Ya I was turned down for a loan when I have 760 TU and 769 Equifax Capital One says my "auto loan" score is 656. WTH, I question CK numbers I have seen scores for CC Car loans personal loans etc all be different, 780 score and a CK recommendedicated site wants 33% on $5,000 loan with 100% on time payment record for 4 years and 12% credit card utilization SMH.

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3051 Contributions
2811 People Helped

Helpful to 77 out of 93 people

Make all inquiries for the car loan within the same 30 day period and only the 1st inquiry counts against your score.  The others will show up, but FICO doesn't count them.  They want us to shop around for big ticket items.  Best of luck!

Reply by
hockjock

2 Contributions
121 People Helped
Helpful to 70 out of 74 people

This isn't true.  I shopped around for my auto.  10 lenders in 5 days.  All 10 still show on my report as a hard inquirey and count against me.

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Reply by
Moraxion

14 Contributions
34 People Helped
Helpful to 9 out of 13 people

In reply to hockjock -- all of the inquiries will show on your report, they just don't all count against your score. 

Reply by
PincGirl

1 Contribution
7 People Helped
Helpful to 7 out of 10 people

They are ALL showing against me and all done on the same day!

How do I get these off??

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Reply by
ANT289

60 Contributions
172 People Helped

I think it is 14 days for car and thirty for mortgage. (Days)Enter Your Reply

Reply by
peggy37

1 Contribution
1 Person Helped
Helpful to 1 out of 1 people

I just got 2 car loans and the did 5 hard inquiries and all 5 showed up on my credit report

Reply by
Megumbo

1 Contribution
3 People Helped
Helpful to 3 out of 3 people

I am having the same problem.  The dealership ran 10 different inquires to banks and each are showing up on my credit score, and hurting it significantly.  I bought my car in July 2015.  Is there anything that I can to do get these removed or consolidated down to one pull since they all occurred the same day and time?

HELP! 

2 Contributions
19 People Helped

Jay H

Helpful to 10 out of 12 people

I learned a hard lesson as well. I went to a car dealership this year and unknowingly they ran my report over seven times. When I negotiated the deal it turned out that they were giving me an interest rate which was through the roof even though my credit score at that time was almost 700. The end result was that I did not buy that car and that was my choice . When I looked at my credit score it dropped several points. So I went to another dealership and this was a couple of months later and when I went in I told them of my experience and that I did not want them to do more than one credit check. They promised that they wouldn't. I bought the car it was a brand new Ford. However I check my scores again and they check my credit report again several times. When I looked at the different companies on my report I was unable to recognize as to who they were because rather than saying it was Ford Credit for example, it would have some letters and numbers and something discernible but I could not tell whether or not it was auto related. So my point is that if a company is going to report on your credit. Then that company should be identified as Ford Motors, and not some abbreviation. They do this to make the dispute process even more difficult, and as someone said above, the lower our credit scores are the more money comes out of the deal. What I've learned is that when I go into a dealership the next time I'm going to prepare a form that the dealership representative, or whomever will sign stating that they understand that they are to make only one credit inquiry. And that they agreed to this.. if they refused to do this then I will walk out. Its really sad that we have three credit bureaus. Because of the major differences shown on our reports. This is unfair and makes it even more difficult for us the one seeking credit to fight them when they know and we know they are wrong. There should only be one central agency established for the purpose of credit checks. But this is just another flawed example of how they screw the consumer. I hope this helps. And this is also laughable. I tried to hit that check box receive email alerts and it wouldn't let me!

Reply by
grgatsby

2 Contributions
19 People Helped
Helpful to 9 out of 11 people

One last point I want to make. I don't care what anyone here tells you, every single one of those inquiries on our reports does in fact impact your credit score. This is factual talk to the people at the credit bureau and you will find out for yourselves

1 Contribution
34 People Helped

Hard Inquiries

Helpful to 34 out of 40 people

I have the same situation.  On one day, seven inquiries went against my report for ONE car.  The auto dealer put out the inquiries without asking or alerting me.  NOT a satisfied customer!

Reply by
patience2007

2 Contributions
33 People Helped
Helpful to 32 out of 41 people

hi i went to one dealer and he ran me 15 times and no im not joking it dropped my score 30 points i had just got them 30 points to i have been tring to raise my score so i can buy a house at the end of the year and was told to try and get a car loan well that back fired now i have to try and find out if i can get them taken off and try and get some of my points back. i did not know that the dealers did that stuff i think they shoud have to ask EVERY time they want to run your report. i dont know about any of you but i dont have 30 points just to throw away and im still without a newer vehicle. if anyone has any advise please let me know thank u

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Reply by
ANT289

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172 People Helped
Helpful to 1 out of 3 people

How many total points were deducted?Enter Your Reply

3 Contributions
28 People Helped

Yea this is bull

Helpful to 28 out of 33 people

Bought a new truck last week. Supposedly any home or auto loan you apply for in a 45 day period is supposed to only count as 1 hard inquiry. Well I have 3 from that day which brings me to 7 which isnt good at all. I will dispute this and waste peoples time over a technicality if 2 of them dont drop off when my loan actually shows up. Experian only shows one hard inquiry. Transunion shows 3. And the kicker is equifax is what they used. Ive worked hard on my credit over the years and this sort of thing ticks me off and I wont stand for it. I firmly believe that lenders dont like lending to people with good credit because they lose money. And the whole credit fiasco is to keep people from obtaing excellent credit. Only 1 inquiry should show up per major purchase. So how could they possibly be nailing us all with every inquiry? Because the majority of people dont fight it.

1 Contribution
27 People Helped

Hard inquiries

Helpful to 27 out of 30 people

I put in for a used car loan roughly about a year ago, and every one of the inquiries showed against my score which in turn dropped my score 10 points in one day. Having a hard time believing FICO pays no attention.

Reply by
Keckard

1 Contribution
19 People Helped
Helpful to 19 out of 24 people

This also happen to me, twice.  I was asked to co-sign on my son's new car, which I had planned anyway.  The dealer applied to 5 different places at the same time, three showed up as hard checks.   The second was for my new car.  I walked in with a check made out to the dealer for the car, through Wells Fargo.  Despite this, the dealer ran my credit without me knowing.  I found out when I received a denial letter and already had the new car for 4 weeks. Wells showed up and the dealer check.

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Reply by
ANT289

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Helpful to 0 out of 3 people

Just ten, that is great!Enter Your Reply

1 Contribution
15 People Helped

Fed up

Helpful to 15 out of 19 people

I also believed that inquiries within a short time frame for the same item would only count as one strike, not 17 different. And yes, dealerships should not be allowed to do this type of thing.

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Reply by
Moraxion

14 Contributions
34 People Helped
Helpful to 11 out of 15 people

It is going to list all of the inquiries, but the scoring model is only counting them as one.  Just because you see all of them doesn't mean that the score was impacted for each.  You also can't compare the amount of a drop between people.  One inquiry is going to impact someone with an 840 score far more than somone with a 585. Seeing a 10-30 point drop may well be reasonable, but the impact is lessened over 6 months and the positive reporting on the new loan should offset.

Still, any time you ask for credit is a hard pull.  I find it funny that anyone would expect otherwise since that is exactly what a hard pull is supposed to document - a request for credit.

2 Contributions
7 People Helped

Helpful to 6 out of 7 people

I have a high interest rate on a car loan. I want to refinance to get a lower rate will this hurt my credit score?

2 Contributions
0 People Helped

Legally illegal

I'm trying to figure out why we can't dispute an inquiry... It should be an option for us since our credit score is impacted big time by checks that 75% of them AREN'T AUTHORIZED!This is the key to keeping ppl down!

Top Contributor
60 Contributions
172 People Helped

Helpful to 3 out of 8 people

You will get a hard inquiry as you apply for various loans. That is how it works, it will be only 20 pts. decrease for a limited time. When applying for auto loans do all of your shopping within a 14 day span, as it will only count as one hard inquiry as pts. being deducted from your FICO.

Reply by
RissaYolo

2 Contributions
0 People Helped

This isn't true. I went to one dealership and my credit was checked over 20 times.This completely killed my score

Reply by
ImSean2012

4 Contributions
28 People Helped
Helpful to 2 out of 2 people

That is not true....Perhaps you did not read the rest of this thread?

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Reply by
bbryson21

11 Contributions
40 People Helped
Helpful to 7 out of 9 people

PLEASE READ THE ENTIRE THREAD!!!! I see you have high contribution #'s and apparently that's what you are aiming for, BUT, I've seen several replies from you on various posts where you have answered incorrectly, and that's not right. Please don't mislead people who are on this site with a genuine question pertaining to their own situation/credit score, etc. Credit is extremely important to people! If you aren't 100% certain your reply/response is accurate, or you don't include in your response that you aren't 100% sure that your answer is correct, please move on and do NOT reply to that particular question. This isn't a "who has the most contributions contest". This is a forum where people ask questions, share facts, and learn from each other about CREDIT, CREDIT CARDS, CAR LOANS, CREDIT BUREAUS, INTEREST, FINANCING, ETC......as you already know.
I'm not sure why I just replied to you. It's obvious you don't read the replies by the other members. Oh well.....🤔

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Reply by
laralee16

11 Contributions
49 People Helped

ANT289 is correct, pertaining to the current FICO model used by virtually all lenders.  Most of the anecdotal evidence in the threads are probably based on whatever CK told them, not considering FICO scoring-- the actual model used by the car dealerships.  And the FICO 08 model does lump them all as one.  VantageScore (the fako model CK and other free sites use) may not, as different models weigh things differently.  FICO 08 also doesn't count nuissance collections under $50 while the models used for mortgages (04) do.  There are dozens of different scoring models and the only one that matters is the one that is being used by the lender.

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