Hard Search vs Soft Search: What Affects Your Credit File

When a company checks your credit file in the UK, the type of search it performs falls into one of two categories: a hard credit search or a soft credit search. These two types of search work differently, appear differently on your credit file, and have different implications for how other lenders view your borrowing history. This article explains what each type of search is, how long they remain on your credit file, and how the system operates across the three main UK credit reference agencies.

This guide covers the factual mechanics of the UK credit search system. It does not constitute financial advice and does not address whether any particular action is appropriate for any individual's circumstances.

• Hard Credit Search: A search of your credit report that takes place when you formally apply for credit or certain services. It is visible to other lenders and may affect your credit score.
• Soft Credit Search: An initial, limited look at certain information on your credit report. It is visible only to you (and recorded by the CRA). It is not visible to other lenders and does not affect your credit score or future credit applications.
• The most important distinction is visibility. Hard searches can be seen by any lender who subsequently checks your credit file. Soft searches cannot.

The UK credit search system is underpinned by three main credit reference agencies (CRAs): Experian Limited, Equifax Limited, and TransUnion International UK Limited. These agencies are authorised by the Financial Conduct Authority (FCA) to conduct business as credit reference agencies under the Financial Services and Markets Act 2000. Their compliance with data protection law is separately overseen by the Information Commissioner's Office (ICO).

CRAs collect and hold information about consumers' credit histories. They do not make lending decisions themselves. Instead, they supply data to lenders, who then use it — alongside their own criteria — to assess applications. Under FCA rules set out in CONC (the Consumer Credit sourcebook), lenders are required to assess creditworthiness before entering into regulated credit agreements. The extent of that assessment is principles-based rather than prescriptive, meaning it varies depending on factors such as the type of credit, the amount, and the borrower's financial position.

When a lender or other organisation checks your credit file, it leaves a record of that check — known as a "footprint" or "search footprint." Whether that footprint is a hard search or a soft search depends on the purpose and nature of the check.

CRAs do not require explicit consent from consumers to hold credit information. They process personal data under "legitimate interests" as a lawful basis under UK GDPR. The Information Commissioner's Office (ICO) confirms that data protection law does not require CRAs to have consent before processing personal data, provided they have a valid lawful basis.

Hard credit searches

A hard credit search is a search of a consumer's credit report that is recorded as a visible footprint on the credit file. It occurs when a consumer formally applies for credit or certain services. The resulting footprint is visible to other organisations that subsequently perform credit checks. Hard searches indicate to lenders that the consumer has actively sought credit, and the presence of multiple hard searches within a short period may affect credit scores.

Hard searches are triggered by formal applications for products and services including mortgages, loans, credit cards, and car finance. Pay-monthly mobile phone contracts and some tenancy agreements may also generate hard searches.

Soft credit searches

A soft credit search is an initial look at certain information on a credit report. Companies perform soft searches to assess how successful an application might be, without conducting a full examination of credit history.

Soft searches are recorded on the credit file, but they are visible only to the consumer (and recorded by the CRA). They are not visible to other lenders and do not affect credit scores or future credit applications.

Soft searches occur in a range of circumstances: when a consumer checks their own credit report; when a company performs an identity check; when an eligibility calculator is used; when an insurance quotation is obtained; or when existing creditors carry out ongoing account management activities such as account reviews, pre-approval of extended credit facilities, or monitoring.

In some regulated roles, according to published guidance, employer vetting may involve soft credit checks rather than hard searches. This varies by employer and sector. Employers conducting such checks do not see the full credit report.

A consumer cannot "fail" a soft credit check, because no lending decision is made as part of the process. Soft searches provide an indication of the likelihood of approval but do not result in a formal decision by a lender.

How long hard searches stay on your credit file

The length of time a hard search footprint remains visible varies by credit reference agency.

• Experian: Hard search footprints are visible for live decision-making for 12 months (one year). After that period, according to Experian's published retention policy, the footprints are no longer visible for live credit decisions but are retained for a further five years for profiling and statistical analysis purposes. This additional retention is not consumer-visible and is not necessarily uniform across all search types.
• Equifax: Search footprints are retained for 12 months for standard searches. Where the search relates to debt collection, the retention period is 24 months (two years).
• TransUnion: Most search footprints are visible on credit files for two years from the date of the search. Some types of search — such as those relating to police investigations — are not shown on the consumer's file.

How long soft searches stay on your credit file

• Experian: Soft search footprints are retained for 12 months (one year). There are exceptions: according to Experian's published retention policy, debt recovery searches are kept for two years plus a further five years for profiling purposes, and insurance quotation searches are kept for three months only.
• Equifax: Standard soft search footprints are retained for 12 months (one year). In all cases, soft footprints remain visible only to the consumer, not to other lenders.

How long hard searches may affect credit scoring

According to Experian, multiple hard credit checks over a short period of time can affect a credit score for up to six months. Hard searches remain visible on the credit file for 12 to 24 months depending on the CRA and search type, but any impact on scoring is understood to diminish over time. This assessment carries medium confidence, as the precise effect depends on individual circumstances and the scoring model used by each lender.

Other data retention periods

• Credit Account Information: Typically held on credit files for six years.
• CCJs: Retained for six years (unless paid within one month or set aside).
• Insolvency: Generally retained for six years from date of order (or longer for restrictions).

Accessing your own credit file

Under the Consumer Credit Act 1974, consumers have a statutory right to request a copy of their credit report from any of the three CRAs. Historically, a statutory fee of £2.00 was charged for this. The ICO now confirms that statutory credit reports are free. Under UK GDPR, CRAs must respond to a statutory credit report request within one month. In practice, online access is often available immediately.

"Does checking my own credit file leave a hard search?"

No. Checking your own credit report generates a soft search. It is visible only to you and does not affect your credit score.

"Can other lenders see soft searches on my file?"

No. Soft search footprints are visible only to the consumer (and recorded by the CRA). Other lenders cannot see them.

"Do all three credit reference agencies hold the same information?"

Not necessarily. Each CRA operates independently. Lenders are not required to report to all three agencies, and the data held by Experian, Equifax, and TransUnion may differ. The retention periods for search footprints also vary between agencies, as outlined above.

"Is there a specific number of hard searches that will cause problems?"

No authoritative source provides a fixed numerical threshold. Sources consistently indicate that "too many" hard searches within a short period may affect credit scoring, but the precise impact depends on the lender and the scoring model in use. Different companies apply different criteria.

"Do mortgage decisions in principle always use soft searches?"

This varies by lender. While many lenders use soft searches for decisions in principle, some may use hard searches. There is no universal rule, and the approach depends on the individual lender's practices.

• Debt collection searches: Debt collection searches, which are a type of hard search, may be retained for longer than standard credit application searches. At Experian, according to its published retention policy, debt recovery searches are retained for two years — compared with one year for standard hard searches — plus a further five years for profiling. At Equifax, debt collection searches are also retained for two years.
• Insurance quotation searches: At Experian, insurance quotation searches — which are a type of soft search — are retained for only three months, compared with 12 months for standard soft searches.
• Law enforcement searches: Some searches are not shown on consumer credit files at all. TransUnion confirms that search footprints are not displayed where police or government bodies access data for the purpose of preventing or detecting crime, and where revealing the search would prejudice that activity.
• Scotland: Scotland uses different legal terminology for certain credit-related records. County Court Judgments are known as "decrees." Bankruptcy is referred to as "sequestration." Individual Voluntary Arrangements (IVAs) are called "Trust Deeds," and Scotland operates "DAS Debt Payment Programmes." These are equivalent in function to their counterparts in England and Wales, but carry different names.
• Northern Ireland: Insolvency records in Northern Ireland have different retention rules at Equifax. According to Equifax's published documentation, insolvency records in Northern Ireland are retained for live decision-making for up to six years from the court date, regardless of whether the record has been discharged. This differs from the approach in Great Britain, where discharge status is taken into account.
• CIFAS fraud markers: CIFAS (a fraud prevention service) markers appear on credit files and affect how applications are processed. CIFAS data is retained for six years for individuals suspected of posing a fraud or money laundering risk, or for two years for suspected victims of fraud. The presence of a CIFAS marker prompts lenders to carry out further checks rather than resulting in automatic refusal. Lenders still make their own independent decisions on applications.

The distinction between hard and soft searches is primarily one of visibility and impact. Hard searches form part of the record that future lenders can see when assessing a credit application. They signal that the consumer has applied for credit, and a pattern of multiple hard searches in a short timeframe is noted by lenders. Soft searches, by contrast, carry no such signal and do not form part of the visible record available to other organisations.

Because the three CRAs operate independently and retain search footprints for different lengths of time, the same hard search may appear on a consumer's Experian file for 12 months while remaining on their TransUnion file for up to 24 months. Consumers who wish to understand what is recorded on their credit file can request their statutory credit report from each CRA free of charge.

If a consumer believes that a search footprint on their credit file is inaccurate, they can contact the organisation that performed the search or ask the CRA to handle the dispute. According to published guidance, the CRA will investigate with the data provider, and this process typically has a 28-day response timeframe, though this may vary depending on the circumstances.

The Consumer Credit Act 1974 also provides that where a creditor declines a credit application based on information from a CRA, the creditor must, if asked, disclose the name of the agency used.

• A hard credit search is a lender-visible search of your credit report, triggered by a formal application for credit or certain services. It is visible to other lenders and may affect credit scoring, particularly if multiple hard searches occur within a short period.
• A soft credit search is a limited check that is visible only to you (and recorded by the CRA). It does not affect your credit score and is not visible to other lenders.
• The three main UK credit reference agencies — Experian, Equifax, and TransUnion — each retain search footprints for different lengths of time. Hard searches are typically visible for 12 months at Experian and Equifax (for standard searches), and up to 24 months at TransUnion.
• Consumers have a statutory right to access their credit report from each CRA, free of charge. Disputes about inaccurate search footprints can be raised with the relevant CRA or the organisation that performed the search.
• Scotland and Northern Ireland have distinct legal terminology and, in some cases, different retention rules for certain types of credit data.