Are you thinking of applying for financing from Badcock Home Furniture & More?
If so, it’s important to understand how applying for and opening an account could affect your credit score.
When you apply for an in-store revolving credit account or financing for a purchase, it could result in a hard credit inquiry.
Below, we’ll take a closer look at how Badcock’s financing options work and how they might influence your credit.
How Does Badcock Credit Work?
Badcock is a large furniture retailer with more than 320 stores across 8 different states.
Like many retailers, it offers financing for its products. Badcock stands out for approving applications for individuals with poor credit or no credit at all.
You can apply for an In-house Badcock Revolving Credit Account, which allows you to make continuous purchases at Badcock.
Alternately, you can apply for one-time interest-free financing, with 6, 12, and 24-month payment plans, which are subject to credit approval.
Badcock does not set a credit minimum, though there are some terms and conditions. Individuals with poor credit may be able to get approved for a 100-day payoff plan with Snap Finance.
Does Badcock Report to Credit Bureaus?
When you open a Badcock credit account, they may report your activity to one or more of the three major credit bureaus.
But whether your application gets approved or not, Badcock will likely run a hard credit inquiry to check your score when you apply.
Your credit undergoes soft credit checks regularly, sometimes without you even realizing it.
For instance, whenever you check your score with a credit monitoring site or get pre-approved for loan offers, a soft inquiry takes place.
These inquiries don’t lower your score and won’t necessarily result in an entry on your credit report.
Hard Credit Inquiries
Applying for credit is different. Rather than just verifying your score, a hard credit check entails accessing your full credit report from one or more of the credit bureaus.
This gives lenders a clearer idea of how responsibly you use credit and aids them in the decision-making process.
A hard inquiry will be entered on your credit report and usually results in a small decrease in your score.
Hard credit checks stay on your report for two years, impacting your score less as time goes by.
To keep the damage to a minimum, limit your applications for the same type of loan to a 14-day period.
Additionally, don’t apply for cards or loans you aren’t likely to be approved for.
Some companies are upfront about their approval odds, giving you an idea of whether or not you should bother applying.
Badcock is one of those companies, with flexible financing options for applicants with a range of credit scores.
Can You Remove Badcock from Your Credit Report?
It depends. In some instances, you may be able to get a hard inquiry deleted from your credit report.
If you applied for a card from Badcock, their inquiry on your credit report is legit.
However, if you didn’t apply, online or in-person, for financing from Badcock, there’s some reason for concern.
The inquiry could signal a reporting error, or more troubling, identity fraud.
Here’s what you need to do if Badcock winds up on your credit report by mistake.
Dispute the Entry with Badcock and the Credit Bureaus
The Fair Credit Reporting Act was designed to protect consumers from inaccurate reporting.
Among other things, it gives you 30 days to dispute a hard inquiry on your report.
You may want to start by mailing Badcock a letter informing them of your concern and asking for more information on the inquiry.
You should also dispute the entry with whichever credit bureaus are displaying the entry.
Disputing entries with the bureaus is easy, as you can file a dispute online, over the phone, or by mail.
Sending a letter by certified mail is the most surefire strategy as it provides you with clear documentation of your dispute.
Since you have a small window of time to dispute negative entries on your report, you should sign up for a credit monitoring service.
An app like Credit Karma will keep you in the loop, notifying you every time there’s a change in your score or a new inquiry is added to your credit report.
Get a Free Copy of Your Credit Report
Get the Inquiry Deleted by Professionals
Sometimes, the best way to get an inaccurate entry deleted from your credit report is to speak with a credit repair expert.
If your score has dropped by more than a few points and you want to get to the root of the problem, a credit repair company can help.
They’ll figure out what’s hurting your score the most and take whatever steps are necessary to improve your score.
With a credit repair company, you don’t have to stress over rebuilding your credit yourself or take time out of your busy schedule to deal with the credit bureaus.
A good credit repair company can also assist you if you’re dealing with:
- Charge offs
- Debt collection
- Poor payment history
Getting Badcock Deleted from Your Report
Applying for a Badcock store card or financing may result in a hard credit check.
While your score might be hit as a result of the inquiry, you don’t need to be too concerned.
Inquiries only stay on your report for 2 years and typically only have a minor impact.
But no matter how small the effect is on your score, if you ever suspect identity fraud or a reporting error, you shouldn’t let it go unchecked.
At the very least, you should follow up with Badcock about the entry and file a quick dispute with the credit bureaus.
And if you need help, consider working with one of the top credit repair companies.
If you did apply for Badcock financing and were approved, the best thing you can do moving forward is to make timely payments.
Your payment history has a far bigger impact on your credit than a hard inquiry does.