What is Hard Search (Hard Credit Check)?

Full Definition

A hard search (or hard credit check) is a check of your credit file carried out when you formally apply for a credit product -- a credit card, loan, mortgage, car finance or mobile phone contract, for example -- and it leaves a visible entry, or footprint, on your credit report that other lenders can see for up to twelve months, and in some cases longer. Each hard search typically causes a small, temporary dip in your credit score, and several hard searches within a short period (particularly for unsecured credit such as credit cards and loans) can look to lenders like a sign of financial difficulty or credit-hungry behaviour, potentially reducing your chances of being accepted for further credit even if each individual application would otherwise have been approved. This is different from a soft search (or soft credit check), which is used for eligibility checks, quotations, or when you check your own credit report, is not visible to other lenders, and has no effect on your credit score -- which is why comparison sites and “eligibility checker” tools that use soft searches are generally a safer way to shop around before committing to a full application. Mortgage applications typically involve at least one hard search, and sometimes two if a lender does both an initial decision-in-principle check and a further check at full application.

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