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Disputing Hard Inquires



A creditor is supposed to run the credit ONCE when you apply for a loan.  If your client end up with several hard inquiries, especially AFTER they approved or declined the application, you can request that the CRA re-classify the inquiry.

The FCRA requires that only application for credit or collection inquiries can be reported to 3rd parties.

Here’s a a sample generic dispute. Make sure that your auto and mortgage inquiries are properly coded as such.

 

[creditor/collector] [date]

To Whom It May Concern:

As per [credit bureau], you obtained my credit report on [date – list all dates if multiple inquiries]

I am not aware of having applied for credit, insurance, employment or anything else with you.

What was your permissible purpose?

Please respond by (date – 20 days?)  If you fail to respond, I will have to assume that you did not have a permissible purpose.

Sincerely,

_______________________________________________________

To Whom It May Concern:

Please immediately stop reporting the [date] credit inquiry by [creditor] to 3rd parties.     [Creditor] ran my credit again after they already [approved/declined] my application.

Sincerely,

[your name / signature]