What you need to know about hard and soft credit pulls.
When it comes to your financial health, it’s important to understand who can pull your credit report, and what they will see when they make an inquiry.
What is a credit inquiry?
A credit inquiry, or credit pull, is when you or a company requests information from your credit report.
Two ways to pull your credit.
There are two types of inquiries on your credit reports: a hard pull and a soft pull. The difference between the two types of credit checks is how they impact your credit score.
Hard Pull
This inquiry is made with your authorization by a lender when you apply for a line of credit such as a mortgage or credit card. Hard inquiries impact your credit score.
Examples of Hard Pulls:
Mortgage Applications
Auto Loans
Credit Card Applications
Student Loans
Soft Pull
This inquiry is initiated by you or a lender to screen for pre-approval offers. Soft inquiries don’t impact your credit score.
Examples of Soft Pulls:
Employment Verifications
Insurance Quotes
Pre-Approval Offers
Rental Applications