Greece’s source of danger is it’s banking system. The European Central Bank input additional emergency funding on Friday to allow the banks to open on Monday. With a lot more funding needed, the ECB will become more hesitant to put in new money unless the Greek government secures an agreement with its European partners. A meeting of European leaders has been called for Monday to negotiate and come to an agreement. The purpose is to find a compromise so that Greece would agree to a set of economic reforms, creditors would provide additional debt relief, and at least 7 billion euros of previously committed funds would be released immediately to help Greece navigate its tough payments schedule over the next few weeks.
The Greek government will face extremely difficult choices in this negotiation. If it agrees to the demands of its creditors, Greece will be breaking its electoral promises and undermining what it has stood for. If Greece holds out it risks seeing a series of severances that include a downfall of the banking system, a fast collection of payments to creditors and suppliers, the collapse of capital controls, and the issue of government IOUs to meet pensions and other government obligations.
How long will a hard credit inquiry impact your FICO score? It is important to understand the difference between a hard and a soft pull. A hard pull is when you’re applying for credit it is a hard pull listed on your inquires. A soft pull someone may do behind the scenes to get you pre-qualified, an example would be, the mail you might receive from a credit card company saying you qualify for X amount of credit. Listed below are a couple of important stats to know how much an inquiry will affect your credit score:
- 49% of consumers have no inquiries, 24% have 1 inquiry, and 27% have 2 or more inquiries.
- 57% of consumers score the maximum number of points for inquiries; that is, inquiries are not a factor for at least 57% of consumers.
- If an inquiry does impact a score, it’s typically by a small amount—less than five points, on average.
- 89% of the time, inquiries are not even one of the top four greatest factors impacting the score.
- Only 0.4% of the time, inquiries are the score factor with the greatest impact.
- Only 14% of consumers lose more than 10 points because of inquiries. Only 4% of consumers lose more than 20 points because of inquiries.
There Used to be a 14 day period where all inquiries counted as one. It was then increased to 30 days, but it still wasn’t enough. Now there is a 45 day window that all inquiries count as one. No inquiries on your credit count at all for the first 30 days. After 30 days they’ll group all inquiries within a 45 day window as one. Moving forward they will act as one inquiry for the next two years.
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