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How Long Do Credit Inquiries Stay on Your Credit Report?

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How Long Do Credit Inquiries Stay on Credit Report

Not too long ago I wrote a post about how credit card utilization ratios impact your ability to qualify for business credit lines. In today’s post we are going to address credit inquiries, how long they stay on your credit reports, how they impact your ability to obtain new credit and more importantly how to remove them. how long do credit inquiries stay on credit report

As you know, inquiries happen when someone checks your credit. Anytime you authorize a lender, bank or other credit grantor to review your credit it triggers a “hard “inquiry on your personal credit report.

Now keep in mind, a “hard inquiry will only show up on the credit report that the lender or credit grantor pulls from. For example, if you apply for a credit card and the card issuer pulls from Transunion then that “hard” inquiry will only show on your Transunion report. Sometimes a credit grantor may check your credit from all three major credit reporting agencies resulting in a “hard” inquiry showing up on all three of your reports.
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What is Business Credit?

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What is Business Credit

If you ever thought about starting a business, or you are currently a startup, own an existing business, or invest in real estate, then you’ve probably heard the phrase “business credit.” what is business credit

But what exactly is business credit? Happy you asked, because I’ve got one short answer, and one really long one. Here’s my official definition:

Business credit is the ability for a company to obtain borrowed money that it can use to purchase products or services which is based on the trust that payment will be made in the future.

You get business credit from a credit grantor, whom you agree to pay back the amount that you spent plus any additional interest charges or fees, at an agreed upon time frame.
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How Can My Startup Get a Business Line of Credit?

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Startup Business Line of Credit

It’s no secret that starting a business has a big laundry list of items that need to be tackled. From tasks such as developing your business idea, choosing and registering a business name, deciding on a legal structure, preparing your paperwork, and the list goes on and on. startup business line of credit

In today’s post we will discuss a crucial item on the list; funding. I’m sure you’ll agree access to funding is so important for starting, operating and growing your business. Although you may be using your own personal funds to launch the business what happens when unforeseen expenses occur?

One of the major reasons why startups fail is because they run out of cash. What frequently goes wrong, and leads to a startup running out of money, is that the owner failed to gain access to funding before their cash dried up. It’s important to plan for growth right from the onset as opposed to waiting until you really need the cash.
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How Credit Card Utilization Ratios Impact Business Credit Lines

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Credit Card Utilization Ratios

You’ve probably seen time and time again the importance of keeping your credit card utilization ratios at or below 50%. The fact is keeping your credit utilization ratios as low as possible is just plan smart. In fact, “Consumers with FICO® scores of 800 use, on average, 7% of their available credit,” says Can Arkali, senior scientist for analytics and scores development at Fair Isaac Corp. credit card utilization ratio

Now to clear up any confusion this doesn’t apply to installment loans such as auto loans, mortgages and student loans. The ratio for installment loans is known as your installment utilization ratio.

Revolving lines of credit such as credit cards is what is referred to as credit card utilization ratios. Your credit card utilization ratio is a measure of how much you owe on a credit card compared with the card’s credit limit. For example, if you have a credit card with a $10k credit limit and you currently have an outstanding balance of $5k then you currently have a 50% credit card utilization ratio on that card.
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Top 10 Types of Credit Scores Business Owners Should Know

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Types of Credit Scores

Do you know you have over 56 credit scores with FICO®?

According to Bankrate, Experian and Equifax each provide 16 different FICO® credit scores to lenders alone. On top of that FICO® is just one of the many types of credit scores being used in the marketplace. types of credit scores

So how do you keep track of all the types of credit scores and which ones are most important?

Below we have compiled our top ten types of credit scores business owners like you should know.

Base FICO® Score versions – There are many types of FICO® score versions being used today but they all share a similar groundwork. As you know FICO® has updated its scoring formulas several times throughout the years to keep up with constant changes in the credit landscape. The newest version released is FICO® Score 9. While some lenders adopt new versions fairly quickly, some lenders make take years to upgrade. What’s important is that you check, monitor and optimize your base FICO® Scores prior to applying for funding.
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