The capacity of magnetic Barkhausen noise (MBN) measurements to characterize recovery and the onset and evolution of recrystallization processes occurring during the annealing of cold rolled low carbon steel is analyzed. Cold rolled low carbon steel samples were isothermally annealed at laboratory under different conditions in order to promote various degrees of recovery or recrystallization. The effect of recovery and recrystallization processes on the MBN envelope, the amplitude of the peak of the MBN envelope, the time integral of the MBN envelope and the MBN energy is discussed and related to the microstructural changes produced by these softening processes. The obtained results prove that several parameters derived from the MBN are able to follow the progress of recovery and recrystallization.