This is one of the most important questions we get asked, and the answer is simple:
No, checking your eligibility for an Updraft loan will not affect your credit score.
You can find out what we can offer you with complete peace of mind. Here’s a clear explanation of how the process works and the distinction between the two types of credit checks.
What We Do: The "Soft Search"
When you apply to see what you're eligible for, we perform what is known as a soft search (or a quotation search).
Here’s what that means:
It lets us review your credit file: this allows us to make an initial, informed decision about your eligibility for an Updraft loan without needing to perform a full credit application.
It is only visible to you: you will be able to see the soft search on your credit report, but other companies and lenders will not.
It has zero impact on your credit score: a soft search does not influence your credit rating in any way. This type of search allows you to explore your options safely before deciding whether to proceed.
When a "Hard Search" is Performed
A hard search (also known as an application search) is different and is only performed after you decide to accept a credit offer.
Here’s what you need to know about a hard search:
It is visible to other lenders: hard searches appear on your credit file and can be seen by other financial institutions.
It can affect your credit score temporarily: applying for several credit products within a short time can cause a small, short-term dip in your score.
It is standard practice: every regulated lender carries out a hard search before providing credit.
Summary: Soft Search vs. Hard Search
Feature | Soft Search (Our Eligibility Check) | Hard Search (After Accepting a Loan) |
Visible to other lenders? | No | Yes |
Affects your credit score? | No | Possibly, slightly and temporarily
|
When is it used? | When checking eligibility
| After accepting a loan offer
|
Why We Do It This Way
Our goal is to help you make informed decisions without unnecessary impact on your credit profile. That’s why we use a soft search for eligibility and only carry out a hard search if you choose to proceed and accept an approved loan.
All credit checks are completed through TransUnion, one of the UK’s three main credit reference agencies.
You can therefore check your eligibility with Updraft confidently, knowing your credit score will remain unaffected until you choose to move forward with a loan.