Does an Eligibility Check or Quick Quote affect my credit score?
Short answer
An eligibility check or Quick Quote carried out by Best Business Loans usually does not affect your credit score because we use soft-search prequalification tools and data-matching.
However, in some circumstances a lender may request a hard credit check later in the process, and personal credit checks on directors can sometimes be used for business finance decisions.
What is an eligibility check or Quick Quote?
Definition
An eligibility check (sometimes called a Decision in Principle or Quick Quote) is an initial, non-binding assessment of whether your business is likely to qualify for finance.
It asks for basic information about your company, the funding amount, the asset or purpose and sometimes key financials.
Purpose
The goal is to filter suitable lenders and brokers quickly so you only proceed with relevant options.
At Best Business Loans we match your profile across our network so you save time and avoid contacting multiple providers manually.
Who performs the check?
Checks may be performed by our AI matching engine, a broker in our network, or directly by a lender at a later stage.
We make clear which party will carry out any credit search before you give explicit consent.
Soft searches vs hard searches: what’s the difference?
Soft credit searches
Soft searches (or soft enquiries) are used for prequalification and eligibility checks and are not visible to other lenders.
They do not affect personal credit scores and are often used by brokers and lender marketplaces to estimate likely outcomes.
Hard credit searches
Hard searches are recorded on credit files and can be seen by other lenders for a limited period, potentially affecting lending decisions.
These are typically performed when an application moves from enquiry to formal submission or underwriting.
When each is used
Providers use soft searches for initial outreach and to present indicative offers, and use hard searches only when you choose to apply formally.
Best Business Loans will flag when a lender requires a hard search and will seek your consent before any such check takes place.
Business credit vs personal credit: who gets checked?
Company credit files
Limited companies in the UK often have a business credit file held by commercial credit reference agencies.
Some lenders rely on this file for decisions and may carry out commercial searches that do not touch personal credit scores.
Director or personal guarantees
Many business finance products require a director’s personal guarantee or rely on director credit histories, especially for smaller or newer businesses.
When a director’s personal credit is checked, it can be either a soft or hard search depending on the lender’s process.
Types of finance and typical checks
Asset or equipment finance and invoice finance providers often rely more on business performance and business credit checks.
Conversely, unsecured loans and some short-term business credit products may involve personal credit assessments for company directors.
For example, if you seek equipment finance we will match you with lenders who commonly use business asset underwriting and commercial searches — find out more about equipment finance here: equipment finance.
How Best Business Loans handles eligibility checks
Our process and transparency
When you submit a Quick Quote through Best Business Loans we use soft-search prequalification and AI matching to identify appropriate providers.
We tell you if a lender or broker in our network requires a hard search before you proceed, so you remain in control.
Data use and privacy
We only share your information with selected lenders and brokers who are relevant to your enquiry and who agree to handle your data securely.
We never sell your data and we do not perform hard searches without explicit consent.
What to expect after a Quick Quote
After matching, you may receive indicative terms based on soft searches or no-credit-check matching and then be invited to progress to a formal application.
Only at formal application or underwriting stages might lenders request hard credit checks or further director checks.
How to protect your credit and the next steps
Practical tips before you apply
Ask which type of credit search (soft or hard) will be performed and who will carry it out before you give permission.
Consider whether you want lenders to check personal credit files for directors if you prefer to keep personal credit untouched.
Managing multiple enquiries
Multiple soft searches do not harm your credit record and are preferable for comparing options.
If several lenders will perform hard searches, try to limit formal applications to a short window or use broker services that submit one consolidated application.
When to proceed with a hard search
Proceed with a hard search only when you have reviewed indicative terms and decided to submit a formal application.
That way you keep your credit footprint minimal and only expose your personal/business credit file when it matters.
Call to action
If you want a quick, no-obligation check without affecting your credit score, submit a Quick Quote with Best Business Loans today and we’ll use soft-search matching to find suitable lenders and brokers.
We’ll explain any steps that may lead to hard checks before you give consent so you can make informed decisions.
Key takeaways
Most eligibility checks and Quick Quotes use soft searches and therefore do not affect credit scores.
Hard searches can affect credit files and are usually only used at formal application or underwriting stages.
Best Business Loans acts as an introducer, matches you using soft-search tools and will always seek your consent before any hard credit check is conducted.
Important: Best Business Loans is an introducer and does not provide loans directly. We do not perform hard credit searches without explicit consent and recommend you seek professional advice if unsure about the suitability of any product. Information in this article is general and not financial advice.