Soft Inquiry
A soft inquiry is a type of credit check that does not affect a person’s credit score. It is also known as a soft pull or soft credit check. Soft inquiries are typically used by lenders to pre-qualify potential borrowers for a loan or credit card. They are also used by employers to check the credit history of job applicants. Soft inquiries are not visible to other lenders or creditors, and they do not appear on a person’s credit report.
Soft inquiries are different from hard inquiries, which are visible to other lenders and creditors and can affect a person’s credit score. Hard inquiries are typically initiated by lenders when a person applies for a loan or credit card. Hard inquiries remain on a person’s credit report for two years and can have a negative impact on a person’s credit score.
History of Soft Inquiry
Soft inquiries have been around since the early 2000s. They were created as a way for lenders to pre-qualify potential borrowers without having to perform a hard inquiry. Soft inquiries are also used by employers to check the credit history of job applicants. This helps employers to determine if an applicant is financially responsible and trustworthy.
Soft inquiries are also used by lenders to check a person’s credit history when they are considering a loan or credit card application. This helps lenders to determine if a person is a good candidate for a loan or credit card. Soft inquiries are also used by credit card companies to determine if a person is eligible for certain types of credit cards.
Comparison Table
| Type of Inquiry | Visible to Other Lenders/Creditors | Affects Credit Score |
|---|---|---|
| Soft Inquiry | No | No |
| Hard Inquiry | Yes | Yes |
Summary
A soft inquiry is a type of credit check that does not affect a person’s credit score. It is also known as a soft pull or soft credit check. Soft inquiries are typically used by lenders to pre-qualify potential borrowers for a loan or credit card. They are also used by employers to check the credit history of job applicants. Soft inquiries are not visible to other lenders or creditors, and they do not appear on a person’s credit report.
For more information about soft inquiries, you can visit websites such as the Federal Trade Commission, Experian, and Credit Karma. These websites provide detailed information about soft inquiries and how they can affect a person’s credit score.
See Also
- Credit Score
- Credit Report
- Credit Card
- Loan
- Hard Inquiry
- Credit History
- Employment History
- Pre-Qualification
- Creditworthiness
- Financial Responsibility
