How to Remove Inquiries From Your Credit Report

Understanding Credit Inquiries

A credit inquiry represents a record of when your credit report is accessed by you or another entity. These inquiries fall into two distinct categories: soft inquiries and hard inquiries.

Soft inquiries occur when someone checks your credit report for informational purposes, not for a lending decision. Examples include checking your own credit score, receiving pre-approved credit offers, or when a current lender reviews your existing account. These inquiries are only visible to you and do not affect your credit scores.

Hard inquiries are generated when you apply for new credit, such as a loan, credit card, or mortgage. When a lender performs a hard inquiry, it indicates you are actively seeking new credit, and this action can temporarily lower your credit scores by a few points. Multiple hard inquiries in a short period might suggest a higher risk to potential lenders, though some credit scoring models treat multiple inquiries for the same loan type within a short timeframe as a single inquiry. Hard inquiries remain on your credit report for up to two years, but their impact on your credit score diminishes after 12 months.

Determining Inquiry Removability

Not all credit inquiries can be removed from your credit report. Only inaccurate or unauthorized hard inquiries are eligible for removal. If you legitimately applied for credit and authorized the lender to check your report, the resulting hard inquiry is considered accurate and generally cannot be removed, even if it negatively affects your credit score.

Examples of removable inquiries include those resulting from identity theft, where someone applied for credit in your name without your permission. Other scenarios involve inquiries made by a lender you never contacted, or duplicate inquiries for a single credit application. The Fair Credit Reporting Act (FCRA) allows consumers to dispute incorrect information on credit reports.

Preparing for Inquiry Removal

Before initiating any removal process, gather all necessary information and documentation. Obtain copies of your credit reports from each of the three major credit bureaus: Experian, Equifax, and TransUnion. You are entitled to a free copy from each bureau annually via AnnualCreditReport.com.

Carefully review each report to identify any inquiries you believe are inaccurate or unauthorized. For each inquiry you intend to dispute, note the name of the inquiring creditor, the exact date of the inquiry, and which credit bureau reported it. This detailed information will be crucial for your dispute. If you suspect fraud or identity theft, gather supporting evidence such as police reports or documentation proving you did not apply for the credit.

Methods for Inquiry Removal

Once you have identified specific inquiries for removal and gathered supporting documentation, you can proceed with the dispute process. There are two primary approaches: disputing directly with the credit bureaus and sending a goodwill letter to the creditor.

One method involves disputing the inquiry directly with the credit bureaus. You can file disputes online through each bureau’s website, by mail, or by phone. When disputing, provide the creditor’s name, the inquiry date, and a clear reason for the dispute, such as identity theft or an unauthorized inquiry, along with any supporting evidence. The credit bureau will investigate your claim, usually within 30 to 45 days. If the inquiry is found inaccurate or unverifiable, it should be removed.

Another approach, applicable only to legitimate hard inquiries you authorized but wish to have removed as a courtesy, involves sending a goodwill letter. This method is not guaranteed and depends on the creditor’s discretion. The letter should be sent directly to the creditor that made the inquiry, not the credit bureau. In your letter, politely request the removal of the inquiry, briefly explain any extenuating circumstances, and highlight your positive payment history with them. This is a request for a courtesy removal, as legitimate inquiries are accurate and cannot be disputed as errors.

Post-Removal Actions

After initiating the inquiry removal process, follow up and monitor your credit reports. Regularly check your credit reports from all three bureaus to confirm if the disputed inquiry has been successfully removed.

You can follow up with the credit bureau to understand the reason for their decision. If the issue stems from identity theft, consider filing a complaint with the Consumer Financial Protection Bureau (CFPB). Ongoing credit monitoring is also valuable to detect any new unauthorized inquiries or fraudulent activity promptly.