Credit Score Guide #88: What Happens When You Apply for Multiple Loans or Credit Cards Together?

 

Applying for Multiple Credit Cards or Loans? Here's Why It Can Hurt Your CIBIL Score

Each time you apply for a loan or card, it leaves a “mark” on your credit report. Too many = danger. Here’s what happens and how to avoid it.

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📉 What is a Hard Inquiry?

When a lender checks your credit score after you apply for:

• Personal loan
• Credit card
• Car/home loan
• Buy Now Pay Later (BNPL)

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⚠️ Too Many Inquiries =

• Score drop (5–15 points per inquiry)
• Bank flags you as “credit hungry”
• Higher chances of rejection

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🧠 Best Practices

• Apply only when necessary
• Space out applications by 3–6 months
• Use soft inquiry tools (pre-approved offers)

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🛡️ Tip: Use OneScore or PaisaBazaar to check eligibility first — it won’t affect your score.

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✅ Conclusion

Be strategic. Credit is a privilege — not candy. Fewer, smarter applications = healthier financial profile.

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