Maintain Your Credit Report By Removing The Unauthorized Inquiries
Credit reports are the summary of activities related to the credit or repayment behavior. The credit report includes your personal information, credit inquiries and details of credit cards. Your credit report will impact your credit score, so it is important to remove the unauthorized inquiries from your report. It generally takes place when any creditor is offering a loan or credit card. There are different types of inquiries that take place on credit reports such as hard credit inquiry and soft credit inquiry. You can visit this website to know more.
Working of hard credit checks:
These checks are usually used for the credit card and loan application, and these checks can pull your full credit report and the creditor can evaluate your credit score. In case, you see any unauthorized hard credit check, you have to dispute it and also ask for removing it so as to maintain a good credit score.
Working of soft credit checks:
These checks are normally done when any person, lender or creditors are checking your credit for your background and pre-approval process. A soft credit check provides only a high level of credit summary and it does not affect your personal credit score.
Benefits of having a good credit score:
- If you are having a good credit score, you will be qualified for the best interest rate and you will have to pay a low finance charge on your credit card balance and loans.
- If you are having an excellent credit score, you get a chance for approval of your new credit and you can apply for the credit cards and loans with high confidence.
- Good credit score will give you the power to negotiate for a lower interest rate on your new loans or new credit card. You can take advantage of other offers that you can take from other companies. But if you are having a bad score on your credit, you don’t have any other option than accepting the loan offered at the interest rate offered by the company.
- The capacity of borrowing is totally dependent on your income and credit score, but if your credit score is good then the banks are willing to offer you a loan because you are demonstrating that you will pay back on time but the amount is limited.
How to remove inquiries from your credit report?
Basically, you have to remove only hard inquiries because they pose a negative effect in the eyes of the creditors. There is one method to remove it and that is by disputing the certified letter and you should address this letter to the credit bureau. Your letter of credit inquiry removal should include the reason for removing inquiries and the reason is usually due to the unauthorized and unorganized activity. If there are a large number of inquiries on your credit report then it will be suitable to number them all.
If you are having a good credit score then it is not necessary to remove it all but if you have a poor credit report then you will have to remove it. Here, removal means to make a difference in 5 to 10 points in finance at 10.99% or 15.99%.