Does refinancing hurt my credit?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
Only slightly and temporarily. The credit pull is a single hard inquiry that may dip your score a few points, and opening the new loan briefly lowers your average account age. Both recover within months.
The long-term effect is neutral to positive as you pay the new loan on time. Rate-shopping within a short window counts as one inquiry. We time the pull to minimize any impact.
A small, brief dip
Refinancing causes a small, temporary dip in your credit from the hard inquiry and the new loan. Most scores recover within a few months as you make on-time payments.
The impact is minor compared to the savings a good refinance can bring.
Smart shopping
Rate-shopping within a short window, usually 14 to 45 days, counts as a single inquiry, so comparing lenders will not stack up multiple hits.
We help you shop efficiently to protect your score. Apply now and we will guide your refinance the right way.