Make 2 loan requests at the same time – does it make sense?
Some credit seekers remember to make 2 simultaneous loan requests, according to the motto “Double Stitches Holds Better”. But whether this is the superior strategy for really getting credit access is more than questionable. You may even worsen your credit chances.
In principle, there are no 2 credit inquiries at the same time, if you only inquire about the conditions that apply to you or whether there is a possibility for credit at all. Such a request is as non-binding as the following offer. It even makes sense here to ask for more than just two providers. Only then can you actually identify the most favorable offer on the market. If you use comparison portals on the Internet, this is even explicitly offered and recommended. Such inquiries have no influence on your private credit, but if the private credit information is provided, the second bank will not be aware of your entry into the competition. Your private credit Score value remains untouched.
Double credit inquiries are suspicious
This is not the case with loan inquiries, where you make specific loan applications after offers have been made. At the same time, 2 credit inquiries can certainly have an impact. The requested institutes will report your inquiry to private credit For concrete loan applications, this message will be sent as a “request credit” and not as a “request credit terms” as for pure condition requests. The message “request credit” is available to other institutions for about ten days. Therefore, if you have submitted 2 loan requests at the same time, it can be recognized by at least one of the two institutions involved.
In this case, you have to expect questions as to why you should place your loan request twice. The fact that your credit concerns are not just more reputable, is immediately obvious. The suspicion is obvious that they deliberately try to get two loans without having disclosed this before. If necessary, your credit score will also be adversely affected by 2 credit requests. The private credit scoring is a summarized credit rating, which is determined mathematically and statistically based on the stored data and which the private credit offers its customers.
Better – a loan application for condition requests
Although the scoring formula is a trade secret, tests show that the request credit feature can degrade the score. This is especially the case when several such loan requests are reported within a short time. Whether 2 credit inquiries will lead to a bad rating at the same time is not certain, but the risk of your credit standing being increased. The better way is certainly if you first identify the best offer for you via condition inquiries and then submit a loan application to the respective bank.