• Septimaeus@infosec.pub
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    8 months ago

    True. This inquiry collapsing behavior is a feature of recent iterations of two popular models: FICO (8,9,10) and VantageScore (2.0,3.0).

    Note however that:

    1. It only works for certain types of debt. For example, FICO8+ includes auto, student, and mortgage. VantageScore2+ includes utilities, auto, mortgage. No model includes revolving accounts like credit, retail, or charge cards.
    2. The inquiry collapsing behavior only occurs within a single asset class. For example, FICO8+ would collapse simultaneous shopping for student loans, car loans, and mortgages into 3 inquiries, not 1.
    3. The shopping period varies. FICO8+ ignores same-class inquiries for 30 days and collapses same-class inquiries within a 45-day window. VantageScore2+ does the same but only within a 14-day window.

    Bonus hack: Certain banks also routinely collapse/reuse inquiries for same-day applications, permitting additional applications “for free,” which can be useful if you are denied your first choice and have a fallback in mind or if you are instantly approved for one product and want to try for another.