Your credit score is one of the most important numbers in your life. It impacts everything from the interest rate you pay on a car loan to your ability to qualify for an apartment independently.

Understanding what credit inquiries are, when they occur, and how they affect your credit can help you protect and improve your credit score.

Your credit report lists your current and past credit accounts, including personal loans, credit cards, student loans, and mortgages. It also shows recent credit inquiries when you apply for or get quotes for credit.

Two types of credit checks appear on your credit report (also called inquiries): hard and soft. Soft inquiries are the no-strings-attached version because they don’t impact your credit.

Hard credit checks occur when you apply for new credit, such as when you submit an application for a car loan or new credit card. Sometimes referred to as hard credit pulls, these credit inquiries require your consent; lenders need you to agree to a credit check before they can pull your information.

Depending on your credit at the time you apply and the length of your credit history, a hard credit check can cause your score to drop by several points.

Hard credit inquiries stay on your credit report for two years but affect your credit for a shorter period. Typically, hard credit checks impact your score for 12 months.

Read more: How to improve your credit score

A soft credit check is solely for informational purposes. Soft credit checks reveal the same information as a hard credit check, and the soft credit inquiry will appear on your credit report. However, soft credit pulls don’t impact your credit score.

Rather than occurring when you apply for new credit, you undergo a soft credit check when you request a loan rate quote from lenders with prequalification tools or check your eligibility for a credit card.

Unlike hard credit checks, which require your consent, soft credit checks don’t need your permission.

Related: How to check your credit score for free

Soft credit checks are common among lenders and credit card companies that offer prequalification or rate quote tools; these tools allow you to get rate estimates and check your eligibility for a loan or credit card without hurting your credit. However, there are other times when a soft credit check may occur beyond comparison shopping:

• You check your credit: You can view your credit report at AnnualCreditReport.com. When you do, a soft credit check occurs; you can view the items on your credit, but since you’re not applying for new credit, it doesn’t affect your credit.

• Your bank or credit card company provides credit updates: Some banks and credit card issuers have platforms that allow you to check your credit report and view your credit score. These platforms automatically run soft credit checks, and they may update weekly, monthly, or quarterly.

• You check life insurance rates: Many life insurance companies review applicants’ credit as part of the underwriting process and use soft credit checks.

• You apply for a job: Some employers will check your credit as part of their background checks. However, the employer will need your written permission before reviewing your credit report.

• You apply for a new apartment: When you apply for a new apartment, some landlords require credit checks to review prospective tenants.

• You use a buy now, pay later app: Some buy now, pay later platforms use soft credit checks. For example, apps like Affirm and Klarna use soft credit checks to determine your eligibility to qualify for their services.

Unlike hard credit inquiries, soft credit inquiries do not impact your credit. Even if your credit report shows 20 recent soft credit checks, it has no bearing on your score, nor do the inquiries affect your ability to qualify for credit.

To protect your credit, use the following tips:

• When possible, use soft credit checks when comparison shopping: Some, but not all, lenders and credit card companies allow you to view potential rates and check your eligibility with only a soft credit pull. Leveraging these creditors can give you an idea of what rates to expect without hurting your credit. When shopping around for the right credit card or loan, request quotes from lenders that offer prequalification options first.

• Monitor your credit: Soft credit checks can allow you to monitor your credit through your bank, credit card company, or on your own. Checking your credit monthly or at least once every six months will help you identify errors or fraudulent accounts. If you find those items, you can dispute them with the major credit bureaus.

• Batch hard credit checks: A soft credit inquiry may not be sufficient with some types of loans. For example, if you’re shopping for a car loan or mortgage, lenders may require hard credit checks. If that’s the case, try to limit your rate shopping to a limited period, such as 14 to 45 days. Multiple hard inquiries for one type of credit that occur within a certain window are treated as a single credit inquiry, limiting the impact to your credit score. The window you have varies by credit scoring model and the type of credit.

Related: OpenSky Secured Visa review — No credit check required for this secured card

Yes, when you view your credit report, you can see a list of credit inquiries, including soft credit checks, that occurred. Don’t be surprised if you see soft credit inquiries that you don’t recognize; banks and credit card companies often run soft credit checks on an ongoing basis.

Lenders, creditors, employers, landlords, insurance companies, and individuals can perform soft credit checks.

No, checking your own credit doesn’t affect your credit. You can view your credit report without hurting your credit at AnnualCreditReport.com.

Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. All opinions belong solely to the Yahoo Finance and are not those of any other entity. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information. This site doesn’t include all currently available offers. Credit score alone does not guarantee or imply approval for any financial product.