HARD PULLS Meaning and
Definition
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Hard pulls, also known as hard inquiries or credit checks, refer to the process of a lender or financial institution accessing a person's credit report and score to evaluate their creditworthiness. This examination is typically conducted when an individual applies for credit, such as a mortgage, loan, or credit card.
Hard pulls are considered "hard" because they can potentially impact an individual's credit score. When a lender initiates a hard pull, it indicates that the borrower is actively seeking credit. Consequently, these inquiries are recorded on the individual's credit report, signaling to other creditors that they are taking on new debt. Multiple hard pulls within a short period may raise concerns regarding the person's ability to manage additional credit, potentially negatively affecting their credit score.
While a single hard pull may result in a minor decrease in credit score, multiple inquiries in a short period can have a more significant impact. However, it's important to note that the impact of hard pulls varies among individuals, and the specific duration of the impact may also differ.
Conversely, hard pulls are distinguished from soft pulls, which occur when an individual checks their own credit report or when a lender reviews an existing customer's credit. Soft pulls have no impact on the credit score and are typically used for background checks, promotional offers, or pre-approval inquiries.
In summary, hard pulls are credit checks initiated by lenders to assess a person's creditworthiness when applying for new credit, potentially impacting their credit score, and are distinct from soft pulls that have no effect on credit rating.
Common Misspellings for HARD PULLS
- hard pul
- gard pulls
- bard pulls
- nard pulls
- jard pulls
- uard pulls
- yard pulls
- hzrd pulls
- hsrd pulls
- hwrd pulls
- hqrd pulls
- haed pulls
- hadd pulls
- hafd pulls
- hatd pulls
- ha5d pulls
- ha4d pulls
- hars pulls
- harx pulls
- harc pulls
Etymology of HARD PULLS
The term "hard pulls" is commonly used in the context of credit reports and credit scoring systems. It refers to a type of credit inquiry known as a "hard inquiry" or "hard credit check".
The word "pulls" in this context can be traced back to the practice of lenders or creditors pulling an individual's credit report from credit bureaus to assess their creditworthiness or evaluate their credit application.
The word "hard" is used to distinguish these inquiries from "soft inquiries" or "soft pulls", which do not impact an individual's credit scores. Hard inquiries typically occur when a person applies for credit, such as a loan or credit card, and can have a temporary negative impact on their credit score.
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