US Credit Cards
Credit Card Preapproval vs Prequalification in the US: What Is the Difference?
One is soft and free, the other can cost a hard inquiry. Getting them confused costs points.
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- Prequalification
- Soft pull, indicative only
- Preapproval
- Sometimes soft, often hard
- Score effect
- Soft: none. Hard: small, ~12 months
- Binding?
- Neither, until you accept
Prequalification is a filter
Issuers match your reported data against their criteria without a hard pull. It is a useful early filter, but the result is not an offer and can still end in a denial.
Preapproved varies by issuer
Some run a soft pull and send a firm-ish offer; others pull hard at the application stage regardless of the label. Check the issuer wording, not the marketing badge.
Never apply just because of the label
A preapproval that arrives with a hard pull already performed still leaves you with the account if you accept. Read what has been pulled before clicking through.
Use prequalification first, always
Run every soft check available before a single hard application. It is free information about your odds.
FAQ
Is prequalification a guarantee?▾
No. Final approval comes after a full application.
Do mail offers mean approval?▾
They mean the issuer bought your data. Income and utilisation still decide.
Can I opt out of prescreened offers?▾
Yes, via OptOutPrescreen.
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