How badly does a hard search affect credit score?

How Badly Does a Hard Search Affect Credit Score?

A hard credit check is a type of credit inquiry that is conducted with your consent. It is typically used when you are applying for a loan, credit card, or other type of credit. Hard credit checks remain on your credit report for at least a year, and they can potentially affect your immediate creditworthiness.

How Hard Credit Checks Affect Your Credit Score

Hard credit checks can have a negative impact on your credit score, but the extent of the impact depends on several factors, including:

• Your credit history: If you have a good credit history, a hard credit check may have less of an impact on your score than if you have a poor credit history.
• The number of hard credit checks you have: The more hard credit checks you have in a short period of time, the greater the impact on your score.
• The type of credit you are applying for: Some types of credit, such as mortgages, are more likely to trigger a hard credit check than others, such as personal loans.

How to Minimize the Impact of Hard Credit Checks

There are a few things you can do to minimize the impact of hard credit checks on your credit score:

• Only apply for credit when you need it. The more times you apply for credit, the more hard credit checks you will have on your report.
• Space out your credit applications. If you are applying for multiple types of credit, try to space them out over a period of time.
• Dispute any inaccurate credit checks. If you see a hard credit check on your report that you do not recognize, you can dispute it with the credit bureau.

Conclusion

Hard credit checks can have a negative impact on your credit score, but the extent of the impact depends on several factors. By following the tips above, you can minimize the impact of hard credit checks on your credit score and protect your overall creditworthiness.