You must have heard it several times that one should check one’s credit score on a regular basis. It helps you rectify any mistake which could be there on your credit report apart from keeping you stay updated of your creditworthiness. This helps you negotiate with lenders effectively at the time of borrowing a loan.What happens when you check your credit score? It leads to a soft inquiry.Those who are not aware — a soft inquiry is a type of credit check that takes place when you check your credit score or when a lender checks your credit for a pre-approved loan offer. This also takes place when current lenders review your account periodically. There is a misconception that soft inquiry leads to the loss of credit score.These are key features of soft inquiry:I. Against the perception, soft inquiry does not affect your credit score.II. It is not visible to lenders when they check your credit report.III. This can occur even without your explicit request (for instance in case of promotional offers).These are some of the examples of soft inquiriesI. When you check your own credit score on apps such as CRIF High MarkII. When credit card companies happen to send you pre-approved offersIII. Although it is yet not common in India, but employers could also carry out a basic check without a full application.Difference with hard inquiryThis is quite different from hard inquiry which happens when a bank checks your credit as part of a loan or credit card application.As a matter of fact, hard inquiries can bring your credit score down slightly (usually by a few points) and are likely to remain on your credit report.Disclaimer: Mint has a tie-up with fin-techs for providing credit, you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards and credit score. Mint does not promote or encourage taking credit as it comes with a set of risks such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.For all personal finance updates, click here