You might have heard that checking your rate for a loan through Cashkumar won’t impact your credit score. But traditionally, credit inquiries do impact credit scores. So, how does it all work?
Soft credit enquiries
When you reach us for a loan, we do a soft credit enquiry. The score which comes out of this enquiry is used as one of the many inputs to determining your loan eligibility and terms. This soft credit enquiry It has no effect on your credit score.
A few other examples of when a soft credit check might take place:
• For promotional or pre-approved credit card offers from a credit card company
• When a financial literacy site looks at your credit score to help you improve it
Hard credit enquiries
A hard credit enquiry will show up on your credit report. Other service providers can see a hard credit enquiry and too many of them can negatively impact your credit score. A hard credit enquiry is almost inevitable when you request access to credit, for example a credit card, auto loan, or bank loan.
What about outside of Cashkumar?
Outside of Cashkumar, depending on for what the credit enquiry is being done, it might be a hard or a soft enquiry. We suggest that you exercise caution and make sure your credit score isn’t impacted unnecessarily. Ask the company or agency directly.