I joined the upgrade program last year and obviously there was a hard credit check. I upgraded to the iPhone 7 on launch day and my credit still shows no hard inquiries from that day. I'm assuming whatever credit check was done was a soft check. So I don't know if it changes from person to person, but I can confirm that no hard pull was done for the upgrade for me, just a soft one.
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-20 point drop for iPhone credit check
- Thread starter Beau1K
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What's the big deal? Quit praying to the FICO gods and worrying about how much debt you're planning to take out.
Not only will the impact of this "hard" inquiry go away in a month or two, you really shouldn't optimize for being good at borrowing money. Nothing good lies at the end of that road...
The impact of a hard inquiry stays with you for 2 years. You only see a reversal of lost points after the inquiry is removed form your report. The second part of your statement makes zero sense.. Higher FICO = lower interest rates when you buy a house or a car. Obviously you want to be optimized for borrowing money. Why would you throw away unnecessary money on interest?!?
I've not seen any scenario where the impact of a hard inquiry lasted that amount of time. Now if you actually get issued a line of credit perhaps. Granted, I stopped borrowing money like this many years ago so I don't know if things have changed, but it does not change the point I was trying to make.
Don't optimize for borrowing. You have to continually borrow (i.e. go into debt) in order to do that and it's a very dangerous game.
This is my opinion of course, but also that of the majority of financially well to do people. Don't borrow money. Don't go into debt. Just don't.
A mortgage is one exception but you'd have to have a pretty major change in scores for this to actually impact the rate which a bank/credit union would give you. 20 points here is meaningless unless you're already borderline. And if you're borderline, you've got things to clean up before worrying about a house to begin with.
Don't borrow for a car, a laptop, a phone, school, etc. I know this goes against traditional indoctrinated thinking in this debt-laden society we've created, but you'll be far better off for it in practically all aspects of life. It does require you to live within your means though. A real issue for many
There are some people out there who make it one of their life goals to have their credit score be 850 or whatever is the top score (even though that's supposed to mostly be a theoretical score that wouldn't be normal). I fail to see the reasoning behind this goal, but nevertheless, it seems to be a hobby of some people for whatever reason. Good luck to you.
Don't borrow for a car, a laptop, a phone, school, etc. I know this goes against traditional indoctrinated thinking in this debt-laden society we've created, but you'll be far better off for it in practically all aspects of life. It does require you to live within your means though. A real issue for many
My credit score only returns to the previous score it was after the inquiry drops off. I lose 3-7 points per hit, and it takes 2 years for that to come back. Its not solely related to the inquiry (because opening a new line reduces the length of time you have had established credit), but the inquiry does have a 2 year effect.
Additionally, If I didn't borrow for school, I wouldn't be able to go to school. Law School in California is over 55K a year. Borrowing is required. My 790 credit score at 25 years old gives me interest rates at less than half of those with sub-750 scores for student loans. So by me working extremely hard over the last 7 years to keep my credit as clean and perfect as possible, I will end up saving over $100,000 in interest over the next 20 years. Additionally, because of my great credit, my car loan is a 0% interest rate. Therefore, I am not paying a penny additional on my car.
You are not forced to do anything. You aren't forced to go to law school, in California no less. You aren't required to finance a "new" car, regardless what the interest rate is. And most importantly, you don't need to pay off school loans you do take out over a 20 year term. You sound like a great debt salesman!
I don't wish to be rude so I'll just not comment further after this and simply say good luck to you. There is a better way.
In order to make a future for myself and to be able to provide for my future family, I need to continue my education. I chose law school. Because I want to live in California in the future, I must go to Law School here, so I can take the California Bar directly after graduation and not spend more money on CA Bar prep classes by going to an out of state law school. Which I would then spend more money for out of state tuition. Law school loans are set at a 25 year repayment, I opted for 20, which again reduces my interest rate another several thousand dollars. Its not being a salesman. It is the entire reality of what I need to do in order to accomplish what I want to do. I have no debt from undergrad, the job market is very soft for those with just undergrad degrees now days. Degree inflation has changed things drastically.
I just fundamentally disagree with the premise that this is a requirement and that there is no way to cash flow your school. I hope things work out for you and that you get through school quickly and land at a good firm (or start your own). Just set a goal if at all possible to knock that debt out in 1-2 years if that is the case, not 20. That's ludicrous.
Lifestyle creep is very real and very dangerous. A short-term lifestyle sacrifice now will change the way you live the rest of your life. The debt you're taking out now to get this job does you no good if it's looming over your head for 20 years. I would never do that personally and would opt to delay until I could get the cash in order, but if you MUST, just pay down/pay off as aggressively as possible.
I promise you'll never look back and think that was the wrong decision. You can do it...and then never borrow again, except for a house. Then knock that out too in record time (meaning 10-15 yr).
I always live below my means when I have debt. Always have. I'm always ahead of schedule when it comes to a car loan, even if it is 0% interest. I pay things off as fast as possible. Which has also increased my credit. My GF is in law school as well. We have been together for over 8 years. We know that we will be graduating with an insane amount of debt, but we also plan on paying that off before we have a family and so forth. So we are kind of on the track you are suggesting and we realized that that is the way we must do it. But we will be better off that way, as you mentioned. But unfortunately, the debt is required to go to law school. I've wanted to be a lawyer since I was about 7 years old, so I know this is worth it for me.
I can relate to the desire to focus and do something you've had your heart set on so long. Just have a plan in place. A real written plan to attack that debt. A mental half-baked plan will never see the light of day. Not for long anyways.
Hell, if you guys live like poor college students for just a few years after graduating (if that), you'll knock out those loans and have a hell of an income. Just delay that immediate gratification that we all have the desire to jump after once some real money starts coming in. And hopefully nothing in the market softens further for fresh law grads, but if it ever did, at least you wouldn't have all that school loan debt looming over you.
Gives you a hell of an advantage over others in a similar situation when you aren't sweating those payments
Good chat!
Did you look for the hard inquiry across all bureaus or one? Was the report actually from a bureau or some other service?
For example, credit karma often reports things incorrectly.
Its difficult to believe the extension of credit was done without a hard inquiry. Soft inquiries dont include scores.
Inquiries have a 2 year life on a credit report.
For example, credit karma often reports things incorrectly.
Its difficult to believe the extension of credit was done without a hard inquiry. Soft inquiries dont include scores.
Inquiries have a 2 year life on a credit report.
You are making a logic-based argument against an emotion-based stance.
May as well shout at the rain. It's a futile gesture.