Have you ever applied for new credit, only to get bombarded with sales calls, emails and unsolicited offers in the mail? It’s not your imagination – it’s real, and it’s preventable.
When you value your credit rating, it’s important to understand what happens behind the scenes when you apply for new credit, such as a new credit card, mortgage, or car loan. With each new credit inquiry, the credit bureaus (Equifax, Transunion, and Experian) may inform other lenders that you are actively looking for new credit. This is completely legal and, in theory, offers a benefit to you by helping you more easily discover other options so you can easily compare costs/terms, per the Federal Trade Commission. However, you may not want the unsolicited offers.
If that is the case, you can prevent your information from being exchanged when you apply for new credit – and you can take steps to protect yourself against industry misuse. Here are some tips:
- Opt out of the sale of your data. This prevents the credit bureaus from providing your information to anyone. The official website of the Consumer Credit Reporting Industry offers an “Opt-in” or “Opt-out” of firm offers of credit or insurance: www.optoutprescreen.com
- Add your phone number (and your teenagers phone number) to the “Do Not Call List”. This prevents unwanted sales calls from any industry. Visit the official website of the Federal Trade Commission to register your numbers at www.donotcall.gov. After you register your phone number, it should appear on the list in 24 hours. You will need to re-register every five years to remain on the list.
- Remove your data from the mailing list. You can do this at https://dmachoice.thedma.org/register.php. The Direct Mail Association will charge $1, and it can take up to 90 days to finally stop receiving junk offers in the mail. This registration will need to be renewed every five years.
The trusted professionals at First Centennial Mortgage are here to provide advice to help you find ways to mitigate or lessen unwanted solicitations, know your loan options and provide quotes so you can finance your dream home. Contact us to get started.