Updated: December 9, 2025 The Inquiry Illusion: Clearing the Confusion on Checking Your Credit Score
Overview
It is one of the most common worries in the financial world: “If I check my credit score, will it actually go down?”
No, checking your own credit score does not lower it. In fact, regularly monitoring your score is one of the best financial habits to adopt.
Soft vs. Hard: Understanding the Difference
The confusion arises because not all credit checks are the same. There are two distinct types of inquiries, and only one matters to lenders:
- Soft Inquiries (Individual Enquiry): This happens when you check your own score online or when a company pulls your credit report for pre-approvals or background checks. Soft inquiries do not impact your credit score at all. You can check your score daily if you like; it is a safe and beneficial action.
- Hard Inquiries (Institutional Enquiry): This occurs when a lender actively checks your credit report because you have formally applied for a new credit product, such as a loan, a mortgage, or a credit card. These are the ones that can cause a slight, temporary dip in your score, usually just 5 to 10 points.
The Small Impact of Hard Inquiries
A single hard inquiry is usually no cause for alarm; its effect is minimal and fades from your report within a year. However, multiple hard inquiries in a short span of time can be interpreted negatively by lenders. It suggests that you may be financially stressed or desperate for credit, which can reduce your creditworthiness. Therefore, be selective and only apply for credit when necessary.
Why You Must Check Your Score Regularly
Since checking your own score is safe, make it a routine habit. Monitoring your score frequently allows you to:
- Spot Errors Early: Your credit report might contain mistakes, such as incorrect payment dates or accounts that don’t belong to you. Catching these errors allows you to dispute them before they cause damage.
- Plan Strategically: If you plan to apply for a major loan, checking your score in advance gives you time to fix any issues and maximize your chances of approval.
- Stay Informed: A regular check keeps you informed about your financial health, ensuring you stay focused on maintaining a low credit utilization ratio and a perfect payment history.
Conclusion
Stop worrying about clicking that button and start taking charge of your financial health today. Your credit score needs your attention, so give it the consistent checkups it deserves.
