Wrongful Reporting of Credit Inquiries: Petroff Amshen LLP Assists Individuals Facing Credit Damage | Petroff Amshen LLP

May 13, 2025

Wrongful Reporting of Credit Inquiries: Petroff Amshen LLP Assists Individuals Facing Credit Damage

For many Americans, a strong credit score is the gateway to opportunity—whether it is securing housing, accessing loans, or even landing a job.

But what happens when a credit score drops due to something they didn’t authorize, request, or even know about? At Petroff Amshen LLP, we’ve seen an alarming increase in wrongful reporting of credit inquiries—especially those mislabeled as “hard” after being advertised as soft inquiries or those placed without proper consent. Our firm is committed to assisting individuals in protecting themselves from the lasting damage of inaccurate credit reporting.

Can Inquiries Affect Credit Score? Only When Misused

The question “Can inquiries affect credit score?” is more than rhetoric—it’s a reality many individuals face every day. Inquiries appear on your credit report whenever someone requests access to your credit information. Depending on the type of inquiry and how it's reported, it may or may not affect your score.

Hard inquiries, in particular, can cause a temporary dip in your credit score. But the real issue arises when inquiries are reported without authorization or when institutions misclassify them. For instance, what should have been a harmless account review (a soft inquiry) may be reported as a hard inquiry—resulting in an unjustified score reduction.

At Petroff Amshen LLP, we assist individuals in reviewing and disputing these damaging entries and provide legal guidance when necessary. Misreporting is not just an inconvenience—it is a violation of your rights under the Fair Credit Reporting Act (FCRA). And yes, inquiries can affect your credit score—especially when reported incorrectly.

Your credit report belongs to you. We’ll help you defend it—starting with the facts.

Soft Inquiry on Credit Report: Harmless by Design, Harmful When Misreported

A soft inquiry on credit report occurs when you or an authorized third party views your credit information for non-lending purposes. Common examples include:

Checking your own credit score through a monitoring app

A credit card issuer reviewing your report to offer you a preapproved deal

A background check from a potential employer

A lender conducting a routine review of an existing account

Soft inquiries are informational in nature and not tied to a direct application for credit. As a result, they do not impact your credit score.

However, when institutions mislabel a soft inquiry as a hard one, the consequences can be unfair and damaging. We've seen individuals denied credit or lose points on their score due to simple misreporting. A soft inquiry on credit report should never lead to credit damage—but when it does, Petroff Amshen LLP provides guidance and support throughout the dispute process.

We help individuals understand what should and shouldn't appear on their report and support them in disputing inaccurate entries through the proper legal channels.

Hard Inquiry on Credit Report: When Reporting Turns Risky

Unlike soft pulls, a hard inquiry on credit report is directly tied to a credit application. Lenders perform these checks when you apply for:

Credit cards

Auto loans

Mortgage loans

Personal loans

Private student loans

Credit line increases

Because a hard pull indicates you're actively seeking credit, it can affect your credit score—typically by a few points. While one inquiry has a minimal effect, multiple hard inquiries in a short time can suggest financial instability to potential lenders.

A hard inquiry on credit report remains visible for up to two years but only impacts your credit score for one year.

Problems arise when these inquiries appear without the individual’s knowledge or consent. For example, a lender may perform a hard pull instead of a soft one, even when no formal application was made. Or worse, identity theft may result in multiple unauthorized hard inquiries.

At Petroff Amshen LLP, we assist individuals in identifying unauthorized hard inquiries and provide legal support to address the misuse. While we do not file disputes on their behalf, we equip them with the knowledge and legal insight to take appropriate action and, when necessary, pursue formal legal remedies.

Petroff Amshen LLP Stands by Individuals—Not Just Credit Scores

So, can inquiries affect credit score? Yes. And when they’re wrongfully reported—especially as hard pulls when they shouldn’t be—they can cause long-term harm. Misclassified soft inquiry on credit report entries and unauthorized hard inquiry on credit report entries are more than mistakes. They can affect access to loans, housing, and employment.

Petroff Amshen LLP has spent two decades defending New Yorkers against wrongful credit reporting and abusive financial practices. While we do not dispute items directly for individuals, our legal team provides critical support by:

Reviewing credit reports for inaccurate or unauthorized inquiries

Guiding individuals through the dispute process

Explaining legal options under consumer protection laws

Pursuing legal claims when credit reporting violations occur

If you're noticing unfamiliar credit inquiries, it's often a sign that something deeper may be affecting your credit profile. At Petroff Amshen LLP, we help clients take the next step—whether that means addressing identity theft, correcting wrongful reporting, or pursuing action for credit damage. Our legal team is here to provide clarity, guidance, and effective solutions to help you protect what matters most: your financial future.