nocclocster asked:
I was a local dealership a month ago trying to trade in my used car for another pre owned car. They ran a credit check and I qualified for an auto loan with a credit score of 571, but because of the high interest rate I couldn’t afford the car. A month later, I tried the same thing another dealership out of town and after hours of wating, the salesman told me that I was denied by 5 different banks for a loan. Then later that day I went home to check my credit score on freecreditreport.com and my score was 515.
So my question is, did my credit drop because I was denied by five banks for an auto loan? or did my first local dealership did not give me my real credit score?
Marion
I was a local dealership a month ago trying to trade in my used car for another pre owned car. They ran a credit check and I qualified for an auto loan with a credit score of 571, but because of the high interest rate I couldn’t afford the car. A month later, I tried the same thing another dealership out of town and after hours of wating, the salesman told me that I was denied by 5 different banks for a loan. Then later that day I went home to check my credit score on freecreditreport.com and my score was 515.
So my question is, did my credit drop because I was denied by five banks for an auto loan? or did my first local dealership did not give me my real credit score?
Marion
Vanessa
Applying for loans will lower the credit score.
The soft inquiries drop off your account in less than 6 weeks.
And any inquiries you group together in a 3 week period count as one.
Since inquireis could only a affect 10% of your score (and that’s if you get a lot), something else is definitively wrong with your report.
Did you print out your reports?
View then and make any corrections
go to
annual credit report . com
Keep in mind that the dealers use different scores.
They get their own reports called autofinancers reports
Fix what’s wrong on your reports.
Inquiries no matter how many can not make a good score that low.
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Comment by Judy — August 16, 2010 @ 8:53 am
Christine
Applying for a loan affects your credit score and every dealer has their own criteria for accepting you.
Dealers will usually never give you the real deal on your situation as it is : as seen through their glasses.
Comment by Princess Anana — August 18, 2010 @ 5:44 pm
Jesus
Yes, you are correct, your credit score did drop due to being denied by five banks. It is not necessarily the fact that you were denied for the loans, but just the fact that your credit was pulled, (called a credit inquiry), by the car dealership (the lender). This happens especially in short periods of time, such as a month with your case, when you give someone, (a bank, credit card company, or any lender), the permission to run your credit.
Comment by Carlos — August 21, 2010 @ 12:26 pm
Eddie
If you had a lot of inquires on credit report it will lower your score.
Comment by Bedford S — August 24, 2010 @ 1:40 am