Credit Score: What steps should you take if you discover unauthorized inquiries?

Discovering unauthorized queries in your credit report is a gut punch. It can signal potential fraud and impact future access to credit. Time counts to protect your financial well-being.

Here is how to tackle those suspicious entries:

• Notify the credit bureau immediately: Call your respective credit bureau directly. Report the unauthorized inquiries to them. Provide accurate information, like names, other relevant data along with the dates of inquiry.
• Formally complain: There is a process of dispute resolution with credit bureaus. Write a formal dispute, stating clearly that you never gave permission for the inquiries. Offer evidence with any document or any other proof you might have to show them that the inquiry made against you was unauthorized.
• Initiate a credit freeze: Consider freezing your credit report so that you cannot have additional unauthorized activity. This stops most new credit requests, providing added protection.
• Report suspected identity theft: In the event that you believe the unauthorized inquiries are related to identity theft, then consider reporting it to the police and inform affected financial institutions to alert them to the potential fraud. Time in such cases is of immense importance.
• Dispute resolution: Your claim is considered by the bank or financial institution and this is later accepted or declined making the change of information accordingly.
• Outcome of dispute: The report gets updated with the correct information in case the claim is approved or the status of the dispute gets removed and the original information is retained in case of rejection.
• Monitoring credit reports regularly: Always monitor your credit report regularly for any suspicious activity. Most of the major bureaus offer monitoring services with notifications for any changes. Try to do a follow up at least once every six months, but more is better.

Therefore, don’t forget to pursue your respective credit bureau on your dispute, keeping proper records of all documents and communications.

Prompt action is necessary to remove unauthorized inquiries, safeguarding your credit score, credit profile and overall financial health. Besides fraud settlement, it is also essential to ensure responsible financial management. Payment record and a mix of different credit types can all cumulatively lead to a good credit score.