There’s a big difference between pre-approval and pre-qualification. The importance of the distinction cannot be overstated, and it bears repeating that a pre-approval is a much more powerful document than a pre-qualification. Being pre-qualified is a preliminary process, in which a lender asks you a few questions and, based on your answers, pronounces you pre-qualified. They issue you a certificate to show sellers. However, none of the information has been verified as it has in the more extensive pre-approval process.