How do soft searches work?
- Credit broker soft search
When you use a credit broker to look for a loan, they will perform a soft credit check. This helps the broker understand your financial history. With this information, the broker then searches for the most suitable loan for you. This could save you the hassle of having to reapply with multiple lenders; it could also help protect your credit file from many hard searches, which can hurt your credit score. - Soft search eligibility check
Some direct lenders allow you to check your eligibility for a loan before you make a full application. A soft search could show that you’re ‘pre-approved’. While pre-approval does not guarantee acceptance, as long as the information you’ve provided is correct and you pass the lender’s creditworthiness assessment, you should have a good chance of being accepted.
Will a soft search show on my credit file?
A soft search will only be visible on your credit file to you and the company that carried out the check.
How long does a soft search stay on your credit report?
A soft search will stay on your credit report for up to 12 months. Remember, though, a soft search will not be visible to other companies.
Will a soft search damage my credit score?
No, a soft search will not harm your credit score in any way, although it’s important to be aware that if you’re matched with a loan and choose to make a full application, the lender will carry out a creditworthiness assessment. A creditworthiness assessment will include a hard search or an Open Banking check. Multiple hard searches in a short period of time could harm your credit score.
What’s the difference between a soft search and a hard search?
| Purpose | Visible on credit file? | Credit score impact? | Carried out by credit brokers or direct lenders? | |
|---|---|---|---|---|
| Soft Search | Provides credit brokers and direct lenders with a brief insight into your financial situation. | Only to you and the company that carried out the search. | No. | Both. |
| Hard Search | Provides direct lenders with an in-depth look at your financial situation. | Yes, it will be visible on your credit file for up to 12 months. | Yes, a hard search will affect your credit score. | Direct lenders. |
Soft search loans UK: can I get a loan with a soft search?
In the UK, you cannot be approved for a loan with just a soft search. A soft search could help match you with a loan, but this does not mean that you are guaranteed to be accepted.
To be approved for a loan, you must pass a creditworthiness assessment, which, as we mentioned earlier, will include either a hard search or an Open Banking check.
Search for a loan with CashLady with no impact on your credit score*
CashLady is a credit broker. Using soft search technology, we’ll scan our large panel of lenders for a suitable loan without harming your credit score.
The lenders on the CashLady panel offer short-term personal loans between £100 and £10,000, with repayment terms from 3 to 60 months, depending on the amount of money you apply to borrow.
You are welcome to search for a loan with CashLady if you:
- Are over the age of 18;
- Are a UK resident;
- Have a UK bank account and a valid debit card; and
- Have a regular source of income paid into your bank account.
How does the CashLady process work?
1. Tell us about your income and outgoings, how much money you need to borrow, and choose a repayment term. Our online form should take around five minutes to complete.
2. We’ll complete a soft search and scan our panel of lenders for a suitable loan. Your credit score will not be affected by this.*
3. If we’ve matched you with a loan, you’ll be redirected to the lender’s website. Here, you can find out more about the loan and decide whether you’d like to make a full application.
4. If you choose to go ahead, the lender will complete a creditworthiness assessment.*
5. Once the lender has completed their checks, they will let you know if you have been approved.
Get free financial advice
If you’re worried about money or debt, please consider reaching out to any of the following organisations for free, confidential financial advice: StepChange, MoneyHelper, Citizens Advice, and National Debtline.
*If you’re matched with a loan and choose to make a full application with the lender, they will carry out a creditworthiness assessment, which will involve a hard search or an Open Banking check. A hard search will leave a footprint on your credit file for up to 12 months, and undergoing multiple hard searches in a short period of time could damage your credit score.