Personal Finance

Can a credit check from a bank affect my credit score?

  • Last Updated:
  • Aug 18th, 2017 10:46 pm
[OP]
Member
Mar 13, 2017
270 posts
148 upvotes

Can a credit check from a bank affect my credit score?

I opened up a student account at RBC last week. Beforehand,I asked the front desk girl if it would affect my credit score. She said no.

The lady opening my account asked for my SIN card. I gave it and opened a checking and savings account. That's it.

Couple days later, I check creditkarma and I see an inquiry from RBC. Wtf? Ky credit score is in the high 600s after I let it fall due to very poor financial decisions while I was younger. I really want to raise it to the mid 700 mark
6 replies
Deal Guru
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Mar 23, 2008
13006 posts
9963 upvotes
Edmonton
Did you read any of the "Credit Score Thread"?

A "hard check" can drop your score a few points. But it will recover reasonably soon, with no action required from you. A "soft check" won't affect your score at all. You should read your documents to see if you agreed to a credit check. With a chequing account, you very well might have.

C
Deal Expert
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Jan 27, 2004
50468 posts
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ONTARIO
No it doesn't affect your credit score if you use it normally. Its okay to pull a hard credit check every 6 months.
It drops temporarily, then goes back up. Twice a year would be considered a very normal type of behavior. For most people... They get 2 or 3 credit cards and just stick with it. Some like myself... Only have 1 or 2.
Jr. Member
Dec 12, 2005
114 posts
28 upvotes
Well, I can tell you that a recent hard credit check by RBC sure affected my credit score.

My credit score at Transunion was 820+ and I decided to apply online for a Westjet World Elite Mastercard. I have been a RBC customer for years with multiple products. I received an immediate approval.

When my card arrived I decided to change the statement mailing address to my office so my accountant could pay it for me as I travel and I am away a lot and most of the charges to the new card would be for my business travel expenses.

Big mistake; I recently got an alert from Transunion monitoring that my score dropped 80 points in one month down to 740. All my cards are paid in full every month so the only reason for the drop has to be the new card and the change in mailing address.

What pisses me off is I didn't move anywhere I just wanted one statement mailed to my alternate business address. Why scores drop because you change addresses I don't understand.
Deal Guru
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Aug 8, 2012
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BC
UrbanPoet wrote: No it doesn't affect your credit score if you use it normally. Its okay to pull a hard credit check every 6 months.
It drops temporarily, then goes back up. Twice a year would be considered a very normal type of behavior. For most people... They get 2 or 3 credit cards and just stick with it. Some like myself... Only have 1 or 2.
Well, dropping and going back up isn't the same as not affecting it, right?

You could say it has a (usually) temporary effect... not no effect.
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Deal Expert
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Jan 27, 2004
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ace604 wrote: Well, dropping and going back up isn't the same as not affecting it, right?

You could say it has a (usually) temporary effect... not no effect.
I look at it hollistically.
Lenders look at more than just your score. Income, history, length of history, and type of history.

If you pag everything on time, keep a healthy amount of credit, and keep balances low... you'll be able to qualify for the types of credit you need.
Deal Expert
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Aug 18, 2005
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Burlington-Hamilton
regrus wrote: Big mistake; I recently got an alert from Transunion monitoring that my score dropped 80 points in one month down to 740. All my cards are paid in full every month so the only reason for the drop has to be the new card and the change in mailing address.

What pisses me off is I didn't move anywhere I just wanted one statement mailed to my alternate business address. Why scores drop because you change addresses I don't understand.
There is nothing about this that says the cause of a lower credit score is changing your address.
More likely the bigger issue is the change in average age of accounts. The credit hit for a new card is probably a small part of it.
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