Credit Pull Policy
The most common question people ask before applying for financing, answered in full: what this does to your credit file, and when.
Last updated: October 5, 2026 · Terrace Finance Corp., 2580 Anthem Village Dr, Suite B, Henderson, NV 89052
The application starts with a soft inquiry
When you submit an application, we perform a soft credit inquiry so the platform can see your credit profile and route your file to providers whose criteria you may meet.
A soft inquiry does not affect your credit score. It is visible to you on your own credit report but not to other lenders reviewing your file, and it remains invisible no matter how many programs your application passes through at this stage.
You are under no obligation at this point. Seeing what you qualify for is not accepting anything.
A provider may then perform a hard inquiry
Once your file is matched to a provider, that provider may perform a hard credit inquiry to finalise its decision. A hard inquiry is visible to other lenders, generally remains on your report for two years, and may affect your score modestly.
Hard inquiries are more common on larger transaction amounts and on installment loan programs than on no-credit-needed lease programs, several of which decide on income and banking data instead.
Why you might see more than one inquiry
The platform works as a waterfall. If the first provider declines, your application can move to the next one, and that provider may also make its own inquiry. This is how a multi-lender platform produces an approval where a single lender would have produced a decline.
Credit scoring models generally treat multiple inquiries of the same type made within a short window as a single event when calculating a score, because they recognise that consumers shop. The exact window depends on the scoring model in use.
What you authorise when you apply
By submitting an application you authorise Terrace Finance and the providers in its network to obtain consumer report information about you for the purpose of evaluating your application, and you confirm you are applying on your own behalf or on behalf of a business you are authorised to bind.
For business applications, a personal guarantee may be requested, in which case the owner’s personal credit may also be reviewed. [Confirm the exact FCRA authorisation wording with counsel; it must appear on the application itself as well as here.]
If you are declined
If a provider declines your application wholly or partly because of information in a consumer report, federal law requires that provider to send you an adverse action notice. It will tell you which credit reporting agency supplied the report, state the principal reasons for the decision, and explain that you may obtain a free copy of that report within 60 days.
The notice comes from the provider that made the decision, not from us, because the decision is theirs.
Checking and disputing your credit file
If you see an inquiry or an entry you do not recognise:
- Get your reports. You are entitled to free reports from the three nationwide agencies at annualcreditreport.com, the only site authorised by federal law for that purpose.
- Dispute directly with the credit reporting agency that is reporting the item. The agency must generally investigate within 30 days.
- Dispute with the furnisher as well — the lender or lessor that supplied the information.
- If you believe you have been the victim of identity theft, report it at identitytheft.gov and consider a fraud alert or a credit freeze.
If an inquiry came from an application you submitted through us and you want to understand it, call 888-509-1370 and we will tell you which providers received your file.
Prescreened offers
If you no longer wish to receive prescreened credit and insurance offers, you can opt out for five years or permanently at optoutprescreen.com or by calling 1-888-5-OPT-OUT. This is a federal programme and is unrelated to any application you make here.
Whether your account gets reported
Whether an account is furnished to consumer reporting agencies is decided by the provider that holds your agreement, not by us. Some lease-to-own providers report, some do not, and some report only completed agreements.
If building credit is part of your goal, ask the provider directly and get the answer in writing before signing — and bear in mind that a program which reports your on-time payments will also report the ones you miss.