Comments For: Will Opening a Deposit Account Affect My Credit Score?

There are two types of inquiries that can be made to an individual's credit report - “hard” and “soft”. An inquiry is when a company requests access to your credit history. If you are applying for credit, the company will perform a “hard inquiry”, which typically results in recalculation of your credit score. The more hard inquiries you have the lower your score will be – and if you are already starting out with less than perfect credit, a hard inquiry will ding your score more than someone with great credit before the hard inquiry occurs. Other inquiries to your credit report that are not used for lending decisions are considered “soft inquiries” and are generally used to gather information like confirmation of your identity.