Hard Inquires

Hard inquiries (also known as "hard pulls") generally occur when a financial institution, such as a lender or credit card issuer, checks your credit when making a lending decision. They commonly take place when you apply for a mortgage, loan or credit card, and you typically have to authorize them.

Your credit score plays a big role in your financial well-being. Before applying for credit, take time to build your credit scores. Did you know Hard Inquires can harm your credit score and history? A hard inquiry could lower your score by a few points, or it may have a negligible effect on your scores. Understand with stronger credit, you may improve your chances of being approved for the financial products you want at the best possible terms and rates.

To help you keep track of hard inquiries that may influence your credit scores, check your credit reports from TransUnion and Equifax at Credit Karma. While one hard inquiry may knock a few points off your scores, multiple inquiries in a short amount of time may cause more damage.

Examples of hard and soft credit inquiries

Unlike hard inquiries, soft inquiries won't affect your credit scores. (They may or may not be recorded in your credit reports, depending on the credit bureau.)

The difference between a hard and soft inquiry generally boils down to whether you gave the lender permission to check your credit. If you did, it may be reported as a hard inquiry. If you didn't, it should be reported as a soft inquiry.

Let's look at some examples of when a hard inquiry or a soft inquiry might be placed on your credit reports. Note: The following lists are not exhaustive and should be treated as a general guide.

Common hard inquiries

• Mortgage applications
• Auto loan applications
• Credit card applications
• Student loan applications
• Personal loan applications
• Apartment rental applications

Common soft inquiries

• Checking your credit scores on Credit Karma
• "Pre-qualified" credit card offers
• "Pre-qualified" insurance quotes
• Employment verification (i.e. background check)

Keep in mind, there are other types of credit checks that could show up as either a hard or soft inquiry. For example, utility, cable, internet and cellphone providers will often check your credit.

If you're unsure how a particular inquiry will be classified, ask the company, credit card issuer or financial institution involved to distinguish whether it's a hard or soft credit inquiry.