What Is a Soft Credit Check?
A soft credit check (also called a soft search or soft inquiry) is a basic look at your credit file that doesn't leave a visible mark for other lenders. Only you can see soft searches on your credit report, and they have absolutely no effect on your credit score.
In the mortgage world, soft checks are commonly used for eligibility checkers, agreements in principle, and initial affordability assessments. They allow you to get an idea of what you might be offered without committing to a full application.
What Is a Hard Credit Check?
A hard credit check (or hard search) is a detailed examination of your credit file that leaves a footprint visible to all lenders. Hard searches are recorded on your credit file and can temporarily lower your score by a few points.
Hard checks are typically carried out when you submit a full mortgage application. The lender needs to see your complete credit history before making a formal lending decision. Multiple hard searches in a short period can signal to lenders that you're in financial difficulty or desperately seeking credit, which could count against you.
When Each Type Is Used in the Mortgage Process
The mortgage application process usually involves both types of check at different stages:
- Browsing and comparison: No credit check — you're just looking at rates
- Eligibility checker: Soft check — see if you're likely to be accepted
- Agreement in principle: Usually a soft check (though some lenders still use a hard check)
- Full mortgage application: Hard check — the lender needs your complete credit picture
Always confirm whether a lender uses a soft or hard check at the agreement in principle stage. If you're applying to multiple lenders for an AIP, choosing those that use soft searches lets you compare options without affecting your score.
How to Protect Your Credit Score When Mortgage Shopping
The key strategy is to use soft-search tools for as long as possible during the comparison phase. Only proceed to a full application — which triggers a hard search — when you've identified the best deal and are confident about your choice.
If you do need to make multiple full applications, try to keep them within a 30-day window. Some credit scoring models recognise that mortgage applicants often approach several lenders and may treat multiple searches within a short period as a single enquiry. Working with a whole-of-market mortgage broker can also help, as they can target the right lender first time, reducing the need for multiple applications.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.