Hard Inquiry

Hard Inquiry

A hard inquiry, also known as a hard pull, occurs when a Financial Institution Checks your Credit-report/">Credit Report to make a lending decision. This typically happens when you apply for a loan, mortgage, or Credit card. Hard inquiries can impact your Credit-score/">Credit Score and may remain on your Credit-report/">Credit Report for up to two years.

Examples:

• Applying for a mortgage to purchase a home.
• Requesting a Credit card from a bank or Credit union.
• Securing an auto loan to finance a vehicle purchase.

Cases:

1. When Jane applied for a new Credit card, the issuer conducted a hard inquiry, which slightly decreased her Credit-score/">Credit Score for a short period.

2. Tom’s application for a car loan resulted in a hard inquiry, which his lender used to assess his Creditworthiness.