Does Checking My Credit Score Really Impact My Credit Score- Unveiling the Truth!

Does checking my credit score affect my credit score? This is a common question among individuals who are keen on maintaining a good credit standing. The answer to this question is not straightforward and depends on the type of credit check being performed. In this article, we will explore the different types of credit checks and their impact on your credit score.

Soft inquiries, also known as soft pulls, do not affect your credit score. These inquiries are typically performed when you check your own credit score, apply for a pre-approved credit card, or request a copy of your credit report. Soft inquiries are considered part of your own due diligence and do not indicate to lenders that you are actively seeking new credit.

On the other hand, hard inquiries, also known as hard pulls, can have a negative impact on your credit score. These inquiries occur when you apply for new credit, such as a mortgage, car loan, or credit card. Each hard inquiry can cause your credit score to drop by a few points, and multiple hard inquiries within a short period of time can be seen as a sign of financial stress by lenders.

It is important to note that while hard inquiries can temporarily lower your credit score, the impact is usually minimal and temporary. Most credit scoring models will only consider the most recent inquiries within the past 12 months when calculating your credit score. Therefore, if you are planning to apply for multiple loans or credit cards within a short period, it is advisable to space out your applications to minimize the impact on your credit score.

Monitoring your credit score regularly can help you stay informed about your financial health and identify any potential issues. By using a service that provides free credit score monitoring, you can keep an eye on your credit score without worrying about the impact of soft inquiries. Additionally, you can use this information to time your credit applications strategically and avoid unnecessary hard inquiries.

In conclusion, checking your credit score does not directly affect your credit score if it is a soft inquiry. However, hard inquiries can have a temporary negative impact on your credit score. It is essential to understand the difference between the two types of inquiries and manage your credit applications accordingly to maintain a good credit standing.