Credit Score Basics > Do soft credit checks affect credit?

Do soft credit checks affect credit?

Wollit Team2 minute read · Updated 17th September 2024

Passing a credit check is one of the most common and important things people in the UK have to go through. Credit checks can be both soft and hard – depending on when and how they happen. Here is how soft credit checks work with your credit score, and how to make sure you pass one.

What are soft credit checks?

A soft credit check, also known as a soft inquiry or soft pull, is a way to look at your credit report that does not affect your score. These checks can happen in several situations, such as:

When you check your own credit report.
When a company checks your report to see if they should offer you a loan or a credit card.
When an employer checks your background during a job application.

Soft checks give a quick look at your credit profile but don’t imply that you’re trying to borrow money.

Do soft credit checks affect your credit score?

The short answer is no—soft inquiries do not affect your credit score at all. This means that you can check your own score or get pre-approved offers without worrying about hurting your financial situation.

How do soft checks differ from hard checks?

Soft credit checks differ from hard ones in a few important ways:

Soft inquiries leave no mark on your credit report and don’t change your score. Hard inquiries stay on your report for up to two years and can lower your score temporarily—usually by about five points—even if this effect wears off over time.
You can make as many soft checks as you want. However, if you have several hard inquiries in a short time, lenders might think you're in financial trouble, which could make them hesitant to approve new applications.
You can see soft inquiries on your own report, but lenders can’t see them. Hard checks are visible to anyone looking at your credit file.
Companies often use soft inquiries to decide if they should offer you pre-approved loans or credit cards. Hard checks are used for actual loan approvals.

Can I fail a soft credit check?

Nope! You cannot "fail" a soft check because it’s not tied to any application for new credit. It simply gives information about your current financial situation without any consequences.

However, you can see if you’re eligible or not for a loan, at least in principle. This doesn’t mean you’ll fail if you go ahead with the application – just that you have a high chance to.

To make sure that you have the highest chance of loan approval, you will need to work on your credit history.

One of the ways to do this is to download a credit-building app like Wollit.

Wollit works by reporting a fixed fee monthly subscription as a loan repayment to the credit reference agencies (Experian, Equifax, and TransUnion). This helps you build or rebuild your credit history by showing that you can pay debt on time. It can even report your monthly rent payment to Experian, adding another line in your credit report that shows lenders you're responsible and pay your bills when they’re due. In time, this will help you improve your credit score so you won’t need to be worried about any credit check ever again.