What is a Soft Inquiry on Your Credit Report?

A soft inquiry (also called a soft credit check) happens when someone looks at your credit report without you applying for a loan. This could be you checking your own credit, your current bank reviewing your account, or companies checking if you qualify for pre-approved offers.

Unlike hard inquiries, soft inquiries don't affect your credit scores.

How soft inquiries work

When you apply for a credit card or loan, the company does a hard inquiry that stays on your credit report for two years. These can slightly lower your score for a few months.

Soft inquiries happen when:

• You check your own credit

• Your current lenders review your credit

• Companies see if you qualify for offers

• You get pre-approved without a formal application

Some situations might use either type of inquiry. When opening a bank account or renting an apartment, ask if they'll do a hard or soft check.

Can you see soft inquiries?

Yes, soft inquiries appear on your credit reports. You can get a free report from KOHO.

Remember that inquiries only show up on the specific bureau's report that was checked.

Impact on credit scores

Simply put, soft inquiries don't affect your credit scores at all.

Hard inquiries have a small impact that usually fades within a few months. Credit scoring models typically only consider hard inquiries from the past year.

If you're shopping for a mortgage or car loan, multiple inquiries within 14-45 days are usually counted as just one inquiry.

Should you worry?

Hard inquiries play a minor role in your credit score, so don't avoid applying for credit when you truly need it.

As for soft inquiries - don't worry about them at all. You could have hundreds on your report with zero impact on your credit scores.