“With the right tools and guidance, you can deal with any EMS credit inquiries that may appear in your credit history. “
Your credit report can easily be impacted by many factors.
Your payment history, the amount of debt you have, how large your credit card balance is, and how many credit cards you can easily impact your credit report positively or negatively.
One factor that can impact your credit report includes hard credit inquiries from lenders.
An EMS credit inquiry is just one such hard credit inquiry that can affect your credit report and possibly lead to a poor credit score especially if you didn’t request it.
Let’s take a look further and understand what happens with an EMS credit inquiry and how it will affect your credit report.
What Is EMS and Credit Inquiries?
EMS stands for Equifax Mortgage Services and a branch that is employed by Equifax, one of the three credit reporting bureaus in the US.
Equifax, along with TransUnion and Experian, determines your credit score based on a number of factors.
Now, you see every time one applies for a loan for a car or a home, the lender will most often do a hard inquiry to see what your credit score is.
This credit score will then determine whether you are eligible or not.
It will even tell the company what kind of interest rates and fees to charge on top of the loan.
However, the drawback here is that hard credit inquiries result in a deduction of points from your credit score.
This means that when a hard inquiry is done, your score goes down, and let’s face it, it’s actually harder to get scores up than for them to go down.
Now, EMS is a company that mortgage lenders employ to obtain those credit reports.
So mortgage lender asks EMS to get that report, and they do the hard inquiry directly to Equifax.
Remember, whenever you apply for a loan or a credit card a hard inquiry is usually done. However, a hard inquiry cannot be done if there is no consent from you.
So you might be asking what to do if you find an EMS inquiry on your account.
We’ll be answering that shortly.
First, let’s see if EMS credit inquiries will have an actual effect on your credit score.
How Will an EMS Credit Inquiry Affect Your Credit Rating?
There are two types of credit inquiries that are usually done to determine whether a person is going to qualify for loans and for other kinds of credit.
You have the soft credit inquiry and the hard credit inquiry.
Small loans and certain credit cards may use a soft inquiry just to verify your credit score so you can be approved or pre-qualify.
This has no direct effect on your score at all and lenders can actually do this several times without you even knowing.
Soft inquiries do not need customer consent.
The same isn’t true with hard inquiries.
Many big loans like a mortgage or a car loan often require a detailed report of your credit history and so a hard inquiry is usually done.
They would need your consent before proceeding but will deduct points from your overall credit score.
A single inquiry may not have a huge effect on your credit score but many inquiries can add up.
It can signify to lenders instability if there are too many credit score requests and would lead to poor scores.
As many lenders use EMS to do their credit inquiries, you may find EMS tagged than the actual name of the lender.
This is why it’s advisable to avoid multiple loan and credit card applications because it can result to multiple hard credit inquiries.
What Should I Do if I See an EMS Credit Inquiry?
First, before anything else, you have to determine whether the hard inquiry is valid.
You can compare the date of the hard inquiry with any financial transactions you have made during that time.
This way you can determine whether you did give consent for a hard inquiry or not.
Now, if you determine indeed that it is valid, more often than not you cannot contest it.
However, if you find that it is not a valid inquiry or there were multiple inquiries made in a short time period could be a signal of fraud or identity theft.
If you don’t want your credit score to suffer, then a dispute will be needed.
Dispute the EMS Credit Inquiry if Suspicious or Invalid
If you find a reporting issue with your credit report, then you need to dispute it as soon as possible.
Inaccurate entries could mean fraud or identity theft and you will want to nip this in the bud as soon as you can.
Fortunately, due to the Fair Credit Reporting Act, these credit bureaus are required to investigate any disputes made.
After you have made a dispute either by submitting it online, writing, or via a call, these credit bureaus are required by law to investigate and look further into your case within 30 days.
Now, if the credit bureau isn’t able to provide information on the hard inquiry and you did not consent to any inquiries during that time, it should get removed from your report right away.
You may also want to get in touch with EMS directly so that you can find out right away what prompted the hard credit inquiry.
In the event that you suspect identity theft, then you should freeze all your credit reports and place a fraud alert on those reports to stop any additional movements.
This will alert the bureaus and prevent further damage to your credit history.
We also suggest that you sign up for a credit monitoring service such as Credit Karma.
This ensures that you are able to get timely and detailed data on your credit history so it can help you detect any fraudulent activity.
It can also help you find ways to improve your credit history.
And since Credit Karma is free, you can get daily updates on what is going on with your credit report and allow you to have better visibility of your finances and credit score on a regular basis.
Consider Hiring a Professional
Should you encounter any problems with your credit reporting and are unable to handle it yourself or maybe you just don’t have the time to be bothered about these small details, you can consider hiring a professional.
There are many credit repair services available out there and though, nothing they do will be outside what a normal person can do, they do have tons of experience dealing with these financial problems and can easily be on their way to assist you.
Remember though hiring a professional does cost money and maybe outside of your budget.
So if you ever find an EMS Credit Inquiry on your credit report, you need to investigate if it’s valid and if not report it to the credit bureaus right away.
With the right tools and guidance, you can deal with any EMS credit inquiries that may appear in your credit history.
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