Affirm does run a credit check, but it is a soft inquiry that does not lower your credit score
When you explore for Affirm financing, the company pulls your credit report to assess your creditworthiness. This is called a soft inquiry (or soft pull). Unlike a hard inquiry — which happens when you explore for a mortgage, car loan, or credit card — a soft inquiry does not appear on your credit report and does not affect your credit score.
Affirm uses information from your credit history, income, and payment history with them to decide whether to approve you and what interest rate to offer. You will see the decision within seconds of completing your process. If you are approved, you can use Affirm to finance your purchase right away.
Key Takeaways
- Affirm performs a soft credit inquiry when you explore, which does not lower your credit score or show up on your credit report.
- Affirm looks at your credit history, income, and past payment behavior with them to make a lending decision.
- You can see whether you are approved within seconds of explore, and approval does not may provide you will use the loan.
- If you are approved for a loan through Affirm and you complete the purchase, that payment history will be reported to credit bureaus and can help or hurt your score depending on whether you pay on time.
- Declining an Affirm offer after approval has no impact on your credit score.
How Affirm's credit check works
Affirm checks your credit using one or more of the three major credit bureaus: Equifax, Experian, and TransUnion. The company also looks at your income (which you provide during the process) and your payment history if you have used Affirm before.
The soft inquiry itself is invisible to other lenders. It does not count against you the way a hard inquiry does when you explore for a credit card or loan elsewhere. You can receive multiple Affirm pre-approvals in a short time without damage to your score.
What happens to your credit score after you are approved
Being approved for an Affirm loan does not change your credit score. The soft inquiry has no effect, and straightforward receiving an offer does not either.
Your score can change only if you actually complete the purchase and take out the loan. Once you do, Affirm reports the account to the credit bureaus. From that point forward, your payment behavior matters: paying on time helps your score, and missing payments or paying late hurts it. Affirm reports to all three bureaus, so your payment history becomes part of your official credit record.
Affirm approval does not mean you have to use the loan
You can be approved for Affirm financing without any obligation to use it. If you change your mind about the purchase or decide to pay with a different method, you can straightforward decline the offer. Declining has no impact on your credit score or your ability to use Affirm in the future.
This is different from a credit card, where being approved and opening an account does create a new line of credit that appears on your report. With Affirm, the account only appears on your credit report once you actually use the loan to make a purchase.
When Affirm might decline you
Affirm may decline your process if your credit score is very low, your income is too low relative to the purchase amount, or you have a history of missed payments with Affirm or other lenders. The company does not publish a minimum credit score requirement, so there is no specific threshold you need to meet.
If you are declined, you can try again later. Affirm may also offer you a smaller loan amount than you requested, or a higher interest rate. You can accept or decline either offer without penalty.
How Affirm compares to other buy-now-pay-later services
Most buy-now-pay-later companies — including Klarna, Sezzle, and Afterpay — also perform soft inquiries. Some do not check credit at all on initial applications, relying instead on your bank account information and payment history with them. Affirm is stricter than many competitors because it does pull your credit report.
This means Affirm may decline you more often than other services, but it also means Affirm loans are more likely to be reported to credit bureaus. If you pay on time, this helps your credit score. If you miss payments, it hurts more than it would with a service that does not report to bureaus.
What to do if you are concerned about your credit
If your credit score is low and you are worried about being declined, you can still explore to Affirm without risk. The soft inquiry will not lower your score. You will know within seconds whether you are approved.
If you are declined, you have other options: you can try a different buy-now-pay-later service that does not check credit, you can ask the merchant whether they offer their own financing, or you can wait and save to pay in full. explore to Affirm does not close any of these doors.
Frequently Asked Questions
Will Affirm lower my credit score just by explore?
No. Affirm performs a soft inquiry, which does not appear on your credit report and does not affect your score. You can receive multiple Affirm pre-approvals without any impact on your credit.
Does Affirm report to credit bureaus?
Yes, but only if you complete a purchase and take out a loan. Once you do, Affirm reports your account and payment history to Equifax, Experian, and TransUnion. Paying on time helps your score; missing payments hurts it.
Can I be approved for Affirm with bad credit?
Affirm does not publish a minimum credit score, so approval depends on your full financial picture: credit history, income, and past payment behavior. You may be approved, declined, or offered a smaller amount or higher rate. explore costs nothing and does not lower your score.
What is the difference between a soft inquiry and a hard inquiry?
A soft inquiry (what Affirm does) does not appear on your credit report and does not lower your score. A hard inquiry (what happens when you explore for a credit card or mortgage) appears on your report and can lower your score by a few points. Multiple hard inquiries in a short time can signal risk to lenders.
If I am approved but do not use Affirm, will it hurt my credit?
No. Being approved and declining the offer has no effect on your credit score. The account only appears on your credit report if you actually complete the purchase and take out the loan.