Debunking the Biggest Credit Pull Myths: What Borrowers Need to Know

One of the most common fears we hear from borrowers is about credit pulls. Many people worry that getting their credit checked will tank their score, making it harder to qualify for a mortgage. But the truth is, credit scoring models are designed to help you shop for the best loan, not punish you for it.

Let’s break down some of the biggest myths surrounding credit pulls and set the record straight.

💡 Myth #1: "Every Credit Inquiry Hurts My Score"

Reality: Not all credit inquiries are created equal. A mortgage credit pull typically has a very small impact—only a few points at most—and that impact is temporary.

💡 Myth #2: "If I Apply With Multiple Lenders, My Score Will Drop"

Reality: This is one of the most misunderstood parts of credit scoring. Mortgage lenders expect you to shop around, which is why FICO and other scoring models treat multiple mortgage credit pulls within a 45-day window as a single inquiry.

✔️ If you apply with three lenders in that timeframe, it counts as just one inquiry.
✔️ This rule exists because the credit bureaus know that you’re looking for the best deal—not taking out multiple mortgages.
✔️ Pro tip: Don’t drag out the process. If you’re comparing lenders, make sure to do it within 45 days to avoid multiple inquiries.

💡 Myth #3: "I Should Wait Until I’m Ready to Buy Before Getting My Credit Checked"

Reality: Checking your credit early gives you time to fix any issues before they become a problem. A small, temporary dip in your score is worth it if it means getting a better loan in the long run.

✔️ Every 20-point difference in your score (e.g., 700 vs. 720, 720 vs. 740) can impact the interest rate you qualify for.
✔️ We can help you strategize ways to improve your credit before you apply, so you get the best possible rate.

💡 Myth #4: "I Can Use My Own Credit Report Instead of Having a Lender Pull It"

Reality: Unfortunately, you cannot submit your own credit report or send a screenshot of your Credit Karma app for a mortgage application. Lenders are required to pull credit directly from the major credit bureaus to ensure accuracy.

✔️ Even if you just had your credit pulled by another lender, we must pull a new report—it’s a regulatory requirement.
✔️ Credit reports from free apps like Credit Karma or Experian are not the same as a mortgage credit report and often show different scores.

💡 Myth #5: "A Soft Pull and a Hard Pull Are the Same Thing"

Reality: There’s a big difference!

✔️ Soft pull: Checking your own credit (or when we check it just to get started) does not impact your score.
✔️ Hard pull: Required when you officially apply for a loan, but again—one mortgage pull won’t wreck your score.

💡 Not looking to buy just yet? No problem! We can start with a soft pull and only do a hard pull when you’re ready for a pre-approval.

💡 Myth #6: "My Credit Score Is the Only Thing That Matters for Loan Approval"

Reality: A good credit score is important, but lenders also consider:

✔️ Your income and employment history
✔️ Your debt-to-income ratio (DTI)
✔️ Your assets and down payment

Even if your score is solid, things like high debt or unstable income can still impact your loan approval. That’s why it’s best to get a full picture of your finances early in the process.

💡 Bottom Line: Don't Let Credit Pull Myths Hold You Back

Your credit is a tool, not a roadblock. The key is understanding how it works so you can use it to your advantage.

Thinking about buying soon? Let’s take a look at your credit the smart way—whether that means starting with a soft pull or finding ways to improve your score before applying.

Every 20 points matter, and we’ll help you make sure you’re in the best possible position when it’s time to buy.

👉 Want to see where you stand? Let’s talk!