What Is a Fraudulent Credit Inquiry and Can You Remove It?
Quick Answer
A fraudulent hard inquiry appears when someone applies for credit in your name without your permission. You can dispute it with the credit bureau that shows it, they must investigate within 30 days. If you have an FTC Identity Theft Report, the bureau must block fraudulent inquiries within 4 business days. Fraudulent inquiries should be removed; they do not age off like legitimate ones.
Unauthorized credit inquiries are often the first visible sign of identity theft on your credit report. Understanding what they mean, how they differ from soft inquiries, and how to remove fraudulent ones protects both your credit score and your broader financial security.
Hard Inquiries vs. Soft Inquiries
Hard inquiries occur when a lender pulls your credit report as part of a credit application, for a credit card, loan, apartment, or similar. They appear on your credit report and can lower your score slightly (typically 5 points or less). They remain visible for 2 years.
Soft inquiries occur when you check your own credit, when a lender pre-screens you for an offer, or for background checks. They do not affect your credit score and are visible only to you, not to other lenders.
A fraudulent hard inquiry means someone applied for credit using your identity without your knowledge.
Why Fraudulent Inquiries Matter
A fraudulent hard inquiry is a warning sign. It means someone had enough of your personal information to submit a credit application in your name. Even if they were not approved, additional attempts or successful applications may follow.
Fraudulent inquiries also lower your credit score, unfairly. Removing them restores accuracy and may improve your score.
How to Identify Fraudulent Inquiries
Pull your credit reports at AnnualCreditReport.com. Each report shows a list of hard inquiries with the name of the lender and the date. Any inquiry you do not recognise, from a lender you did not apply to, may be fraudulent.
Before disputing, confirm:
- You did not apply for credit at that lender during that period (including through a third party like a car dealership that may have sent your application to multiple lenders)
- The lender name is not a name you would recognise under a different brand (some lenders have parent company names that differ from consumer-facing brands)
How to Dispute a Fraudulent Inquiry
Option 1: Dispute directly with the credit bureau
File a dispute with each bureau showing the fraudulent inquiry (Equifax, Experian, TransUnion, whichever report shows it). You can dispute online through each bureau's dispute portal. The bureau must investigate within 30 days.
Option 2: Use an FTC Identity Theft Report for faster removal
If you have filed an identity theft report at IdentityTheft.gov, you can send the bureau your FTC Identity Theft Report and request that the fraudulent inquiry be blocked. Under the FCRA, the bureau must block it within 4 business days.
Option 3: Contact the lender directly
Contact the lender shown on the inquiry and explain it was fraudulent. Ask them to remove the inquiry and investigate. Provide your FTC Identity Theft Report.
Sample Dispute Language
"I am disputing the hard inquiry from [Lender Name] dated [Date] on my [Bureau Name] credit report. I did not apply for credit with this lender and did not authorise this inquiry. I am requesting that this fraudulent inquiry be removed from my credit report under the Fair Credit Reporting Act."