Abhishek20
TF Premier
I have been seeing many posts in which people are concerned about having one additional hard inquiry in their CIBIL report. But is it really something I should be fretting about? Now, I understand if you have more inquiries, especially in a short period of time, it shows you as a credit-hungry borrower and overly reliant on credit, thereby potentially showing you as a risk. This may affect your credit score as well to some extent. But from what I have observed, the effect of hard inquiries on your credit score seem to be minimal and only for the short-term, recovering quickly (if it even dips) after few months of proper payment and utilization ration. If you have a good history, with no defaults and low utilization, then that seems to mostly determine your credit score in the long-term.
So, is having multiple hard inquiries on CIBIL report really bad and will it have any huge consequences? What happens if you have 5 hard inquiries within a month. 20 in a couple months, etc. apart from maybe dipping your credit score by a few points in the short-term?
So, is having multiple hard inquiries on CIBIL report really bad and will it have any huge consequences? What happens if you have 5 hard inquiries within a month. 20 in a couple months, etc. apart from maybe dipping your credit score by a few points in the short-term?
