Can You Remove Inquiries From Your Credit Report?

Credit reports serve as a comprehensive record of an individual’s financial behavior, influencing access to various financial products. These reports contain a range of information, from payment history and outstanding debts to public records and credit inquiries. Among the various entries, credit inquiries are a common component that often prompts questions about their nature and potential for removal.

Understanding Credit Inquiries

A credit inquiry occurs when a party requests to view your credit report or score. These inquiries are categorized into two main types: hard inquiries and soft inquiries. Each type is triggered differently and serves a distinct purpose, appearing on your credit report for a specific duration.

Hard inquiries typically occur when you formally apply for new credit. This includes applications for a credit card, a mortgage, an auto loan, or even some rental applications. Lenders initiate these inquiries to assess your creditworthiness before extending new credit.

Soft inquiries, conversely, do not stem from a new credit application. They are generated when you check your own credit report, or when a lender or company pre-screens you for a pre-approved offer of credit. Certain background checks, such as those for employment or insurance purposes, can also result in a soft inquiry. These inquiries are initiated either by yourself or by certain third parties for informational or promotional purposes.

Both hard and soft inquiries are recorded on your credit report. Hard inquiries are visible to other lenders and remain on your report for approximately two years. Soft inquiries are generally only visible to you and do not impact your credit score.

Impact of Credit Inquiries on Your Score

Credit inquiries affect your credit score in different ways, depending on their type. Understanding this distinction is important for managing your financial profile.

Hard inquiries have a minor and usually temporary effect on your credit score. Each hard inquiry can cause a slight dip in your score, typically by a few points. While they remain on your credit report for up to two years, their influence on most scoring models diminishes after a few months.

However, credit scoring models typically account for “rate shopping” behavior. If you apply for the same type of credit, such as a mortgage or auto loan, with multiple lenders within a concentrated period, generally ranging from 14 to 45 days, these multiple hard inquiries are often treated as a single inquiry for scoring purposes. This allows consumers to compare offers without unduly penalizing their score. Soft inquiries, by contrast, do not impact your credit score whatsoever. They are informational and serve only to provide a snapshot of your credit profile without signaling an intent to take on new debt.

When Inquiries Can Be Removed

The ability to remove an inquiry from your credit report depends entirely on its legitimacy and accuracy. Legitimate hard inquiries, which result from credit applications you authorized, cannot be removed from your credit report before their natural expiration, which is typically two years from the inquiry date. These inquiries accurately reflect your actions and are a standard component of your credit history.

However, there are specific, limited circumstances under which an inquiry can be removed. This primarily includes inquiries that are unauthorized or erroneous. An unauthorized inquiry occurs if a hard inquiry appears on your report without your knowledge or permission, potentially indicating identity theft or fraudulent activity. An erroneous inquiry, conversely, is a factual error, such as a legitimate inquiry being listed multiple times incorrectly or a mistake made by the credit bureau or the reporting lender.

The Fair Credit Reporting Act (FCRA) grants consumers the right to an accurate credit report. This federal law provides a mechanism to dispute information on your credit report that is incomplete or inaccurate. If an inquiry falls into the categories of unauthorized or erroneous, you have the right to challenge its presence on your report.

Steps to Dispute an Inquiry

The first step involves obtaining copies of your credit reports from all three major credit bureaus: Equifax, Experian, and TransUnion. You can access these reports for free once every 12 months through AnnualCreditReport.com, which is the official, federally authorized source. Review each report carefully to pinpoint where the suspicious inquiry appears.

Once you have identified the inquiry, gather any supporting evidence that substantiates your claim. This might include a police report if you suspect identity theft, or documentation demonstrating that you did not apply for the credit associated with the inquiry. Having clear evidence strengthens your dispute and helps the credit bureaus investigate your claim thoroughly.

Next, formally dispute the inquiry directly with each credit bureau where it appears. Most bureaus offer online dispute portals, but you can also dispute by mail or phone. When submitting your dispute, clearly state the specific inquiry you are challenging, provide its account number if applicable, explain why you believe it is unauthorized or erroneous, and attach all relevant supporting documents. The credit bureau has a legal obligation under the FCRA to investigate your dispute, typically within 30 days.

While not always required, contacting the lender or creditor directly who made the erroneous inquiry can sometimes expedite the removal process. They may be able to verify the error on their end and request the inquiry be removed from your report. After submitting your dispute, monitor your credit reports for updates and expect written notification from the credit bureau regarding the outcome of their investigation.