Loan / credit card enquiries on credit report

[partha108]

I was not deeply aware of such factors as credit score, inquiries earlier.

There was a health emergency in the family, and I had to utilize whatever options I had at the time, leading to many inquiries for credit cards and loans. I made 26 inquiries in May, June, and July. Now, I am gradually foreclosing my credit cards and loans. I have ₹9.5 lakh in total debt from loans and credit cards, which I can close up to ₹6.5 lakh by the end of September. This will boost my credit score and make me eligible for loans again. How much importance do banks and NBFCs give to inquiries that are 4 months old? By November the enquiries will be 4 months old. Will they use that as a reason to reject loans?

 

[akshayhs]

26 inquiries in a single quarter? What is your debt : income ratio?

 

[partha108]

26 inquiries in a single quarter? What is your debt : income ratio?

18% since May. but I got a salary of May, June, July after my probation period in August. so I will be closing 70% of credit card EMIs and loans by this month end.... I want to know when I will be next eligible for loan again

 

[Zacobite]

I was not deeply aware of such factors as credit score, inquiries earlier.

There was a health emergency in the family, and I had to utilize whatever options I had at the time, leading to many inquiries for credit cards and loans. I made 26 inquiries in May, June, and July. Now, I am gradually foreclosing my credit cards and loans. I have ₹9.5 lakh in total debt from loans and credit cards, which I can close up to ₹6.5 lakh by the end of September. This will boost my credit score and make me eligible for loans again. How much importance do banks and NBFCs give to inquiries that are 4 months old? By November the enquiries will be 4 months old. Will they use that as a reason to reject loans?

suggestion... Stop thinking about your next loan!!.. Please clear the current debt.. and take it slow.. enquiries stay for 1-2 yrs.. your utilization and payment and enquiries will drag the score down.. will take some time to settle.. pls don't even think of future loans nw..

 

[akshayhs]

Why are you worrying about getting loan for the no next time? Don't trap yourself in a loan cycle.

 

[partha108]

suggestion... Stop thinking about your next loan!!.. Please clear the current debt.. and take it slow.. enquiries stay for 1-2 yrs.. your utilization and payment and enquiries will drag the score down.. will take some time to settle.. pls don't even think of future loans nw..

My question is more of a theoretical. when banks will consider me again for eligibility ?

 

[Zacobite]

My question is more of a theoretical. when banks will consider me again for eligibility ?

can't say for sure... can be 12-18 months ahead if all payments are closed and score stabilizes.. cannot predict this

 

[Hell_Kitty]

It's up to banks to decide as per their internal policies to approve or reject. For now, your only goal should be to pay the dues on or before time and not have any missed payments or derogatory remarks on your credit report.