Finance Glossary

Credit Check

An enquiry made by a lender or other organisation to review your credit file held by a credit reference agency. There are two types: soft searches (which do not affect your credit score) and hard searches (which leave a visible footprint). Full loan applications typically trigger a hard credit check. Under UK law, lenders must have a legitimate reason to access your credit file.

Related terms

Hard Search
A full credit check that leaves a visible footprint on your
Soft Search
A type of credit check that does not leave a visible mark on
Credit File
A detailed record held by credit reference agencies that doc
Credit Reference Agency
An organisation that collects and maintains credit data on i
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