When you apply for credit cards, loans, apartments, or even certain jobs, the company may check your credit. These credit checks are called inquiries, and they come in two forms: soft pulls and hard pulls. Although both appear on your credit report, only one of them affects your credit score. Understanding the difference is essential when building or rebuilding credit, applying for new accounts, or protecting your financial health. This guide explains everything you need to know about soft pulls vs hard pulls in 2025, how they work, when they happen, and how to avoid unnecessary damage to your credit.
What a Credit Inquiry Is
A credit inquiry is a record that someone accessed your credit report. This may include:
- Banks
- Credit card issuers
- Auto lenders
- Landlords
- Insurance companies
- Employers
- Utilities
Inquiries show you are actively seeking credit or that someone is evaluating your financial trustworthiness.
Soft Pull vs Hard Pull: The Core Difference
The difference is simple but extremely important:
Soft Pull
A soft pull does not affect your credit score.
Hard Pull
A hard pull does affect your credit score.
Both appear on your report, but lenders only use hard pulls when making lending decisions.
What Is a Soft Pull
A soft pull is a credit check that does not impact your credit score because it is not tied to a lending decision. Soft inquiries are used for informational or prequalification purposes.
Soft Pull Characteristics
- Does not impact credit score
- Visible only to you
- Can happen without your permission
- Used for background checks
- Used for prequalification offers
Soft pulls are completely harmless.
Common Examples of Soft Pulls
Here are the most common scenarios where soft inquiries occur:
1. Checking Your Own Credit
Using apps like:
- Credit Karma
- Experian
- MyFICO
- Credit Sesame
These are soft pulls and never harm your score.
2. Prequalification or Preapproval Offers
If a bank says:
- “You are preapproved”
- “You are prequalified”
- “See your odds with no impact to credit”
They are using a soft pull.
3. Background Checks
Soft pulls occur when you apply for:
- Apartments
- Jobs
- Insurance
- Utilities
These allow companies to verify your identity and financial stability.
4. Account Reviews by Existing Creditors
Your current credit card issuers may check your report to:
- Adjust credit limits
- Offer product upgrades
- Review risk
These are soft pulls because you are not applying for new credit.
5. Identity Verification Checks
Financial institutions use soft pulls to confirm identity when you:
- Open a bank account
- Open a brokerage account
- Apply for certain financial services
What Is a Hard Pull
A hard pull, also called a hard inquiry, occurs when you apply for new credit and the lender evaluates your creditworthiness. Hard pulls indicate that you are actively seeking credit.
Hard Pull Characteristics
- Affects your credit score
- Visible to lenders
- Requires your consent
- Helps lenders determine approval
- Can temporarily lower your score
Hard pulls are a normal part of borrowing but should be managed carefully.
Common Examples of Hard Pulls
Here are the most common scenarios that trigger hard inquiries:
1. Applying for a Credit Card
Every traditional application results in a hard pull, except when:
- The issuer uses prequalification first
- The lender explicitly says “no hard inquiry until approval”
2. Applying for an Auto Loan
Auto lenders check your credit through a hard inquiry. If you shop around within a short period, multiple auto inquiries may count as one.
3. Applying for a Mortgage
Mortgage lenders use hard pulls to review your financial history. Similar to auto loans, rate shopping within a short period groups inquiries together.
4. Applying for a Personal Loan
Any personal loan application triggers a hard pull.
5. Applying for a Student Loan
Private student loan lenders use hard pulls when you formally apply.
6. Applying for a Credit Limit Increase
Some issuers perform hard pulls for limit increases. It depends on the bank.
How Hard Pulls Affect Your Credit Score
Hard inquiries do not destroy your score, but they do cause small, temporary drops.
Impact of a Hard Inquiry
- Score drops 2 to 10 points
- Effect lasts 12 months
- Removal after 24 months
- Impact lowers as your credit grows
- Multiple hard pulls in a short time can signal risk
The impact is small but becomes more noticeable if you have limited credit history.
Rate Shopping Rules: When Multiple Hard Pulls Count as One
Credit scoring models understand that consumers compare loan rates. Because of this, auto loan, student loan, and mortgage inquiries within a short period count as a single inquiry.
FICO Rate Shopping Period
- 14 to 45 days depending on FICO model
VantageScore Rate Shopping Period
- 14 days
This helps you avoid unnecessary score damage when comparing lenders.
Soft Pull vs Hard Pull for Credit Cards
Understanding how card issuers use inquiries helps you apply strategically.
Soft Pull Situations
- Prequalification
- Preapproval
- Checking approval odds
- Promotional offers
- Some credit card product change requests
Soft pulls give you a preview without risk.
Hard Pull Situations
- Submitting a real credit card application
- Applying for a credit limit increase with certain banks
- Applying for a second card from the same issuer
If you hit “Apply now,” expect a hard pull.
Which Banks Use Soft Pulls vs Hard Pulls for Limit Increases
Some issuers do soft pulls, others do hard pulls.
Soft Pull Limit Increases
- American Express
- Discover
- Capital One
- Synchrony (usually)
Hard Pull Limit Increases
- Citi
- Bank of America
- Wells Fargo
- Most credit unions
Always check before requesting.
How to Avoid Unnecessary Hard Inquiries
Here are strategies to protect your score.
1. Use Prequalification Tools
Most major issuers allow you to check your chances without a hard pull.
2. Space Out Applications
Avoid applying for too many cards or loans in a short period.
3. Build Your Credit First
A stronger profile increases approval odds, reducing the need for multiple attempts.
4. Understand Which Lenders Are Inquiry Sensitive
Some banks deny applicants with too many recent hard pulls.
5. Ask About Hard Pull Policies
Before requesting limit increases or product changes, ask whether a hard inquiry is required.
How Long Hard Inquiries Stay on Your Report
Soft Inquiries
- Visible only to you
- Do not affect your score
- Do not impact lender decisions
Hard Inquiries
- Stay for 24 months
- Affect score for 12 months
- Become less impactful after 3 to 6 months
Hard inquiries are not permanent. Their effect fades quickly.
Hard Inquiries and Approval Odds
Too many recent hard pulls can lead to:
- Denials
- Lower starting limits
- Higher interest rates
Lenders view multiple inquiries as a sign of financial stress.
Safe Guidelines
- Under 3 inquiries in 6 months is ideal
- Under 6 inquiries in 12 months is good
- More than 6 begins to look risky
Soft Pull vs Hard Pull for Identity Verification
Soft inquiries are often used for:
- Fraud prevention
- Verification
- Background checks
Hard pulls are used only when extending credit.
Soft Pull vs Hard Pull: Quick Comparison
| Feature | Soft Pull | Hard Pull |
|---|---|---|
| Affects Credit Score | No | Yes |
| Needs Permission | Not always | Yes |
| Visible to Lenders | No | Yes |
| Used for Approval | No | Yes |
| Shows Consumer Risk | No | Yes |
Final Thoughts
Understanding soft pulls vs hard pulls is essential for managing your credit wisely. Soft pulls are harmless and provide insight into your credit without affecting your score. Hard pulls are necessary when applying for new credit but should be used strategically to avoid unnecessary damage. By tracking your inquiries, using prequalification tools, spacing out applications, and knowing which actions trigger which type of pull, you can protect your score and improve your long term financial health.
