Credit glossary
Rate shopping
Comparing loan offers from several lenders in a short window, which FICO Scores count as one inquiry for mortgage, auto and student loans.
Newer FICO versions group mortgage, auto and student loan inquiries made within 45 days, older versions within 14 days, and FICO ignores those inquiries during the 30 days before scoring. Mortgage lenders still largely use the classic FICO versions, so finishing within 14 days is the safe plan. VantageScore also groups shopping inquiries under its own rules.
The grouping doesn't cover credit cards, so three card applications in a week mean three inquiries. Under FICO's rules, apartment applications aren't grouped either. When you shop, compare offers close together, and keep the paperwork, since an underwriter may ask about each inquiry on the report.
Guides that go deeper
- Rate shopping for a loan without wrecking your credit scoreFICO counts mortgage, auto and student loan inquiries made within 14 to 45 days as one. The three rules, a worked timeline, and what isn't covered.
- Mortgage preapproval and credit pulls: what shows up and whenA mortgage preapproval usually means a hard pull from all three bureaus. Why one lender shows up three times, how shopping is scored, and what to avoid.
- Apartment applications and your credit: what each one costsLandlord credit checks can be hard or soft, and FICO doesn't group rental inquiries the way it groups loan shopping. Ask these questions before you pay.
Sources
- How to Rate Shop and Minimize the Impact to Your FICO Scores, myFICO
- Credit Checks: What are credit inquiries and how do they affect your FICO Score?, myFICO
- Thinking About Applying for a Loan? Shop Around to Find the Best Offer, VantageScore
This is education, not legal or financial advice. Spot an error? Tell us and we'll fix it.