Credit Card Center Advertiser Disclosure

Reply
Community Leader
Senior Contributor
Posts: 4,995
Registered: ‎04-27-2014
0 Kudos

Has anyone used Samsung Financing?

I get a deal on a pre-ordered Note8 and there is a 0% option with samsung finance. I won't use the option if it is either an HP or reports to CR's. Any experince?

 

gfgffgretre.jpg


Moderator
Posts: 15,380
Registered: ‎10-07-2014

Re: Has anyone used Samsung Financing?

No experience but can almost guarantee that's there will be a HP and most likely report.

Community Leader
Senior Contributor
Posts: 4,995
Registered: ‎04-27-2014

Re: Has anyone used Samsung Financing?


Irish80 wrote:

No experience but can almost guarantee that's there will be a HP and most likely report.


  Thanks Irish

 

  I did more research and found " Samsung Financing Program Account issued by TD Bank, N.A."

 

  TD bank = HP and I am firmly planted (9 months app free / 1 account in the last 15 months) so I just shelled out the cash. Will have the phone Oct 8.


Valued Contributor
Posts: 1,478
Registered: ‎01-31-2008

Re: Has anyone used Samsung Financing?

I have phones financed with AT&T with their Next program and they were not a HP and do not show up on my reports.

New Contributor
Posts: 131
Registered: ‎08-06-2017

Re: Has anyone used Samsung Financing?

If not in a hurry to buy a phone, wait for a few more weeks and buy a new one with a large discount on black Friday...


Current:::::::::::::EX8=740, EQ8=740, TU8=760.
12 month goal: EX8=800, EQ8=800, TU8=800.
AMEX BCE, AMEX PRG, AMEX HH, Discover CR, BOA CR, BOA Better CR, BOA TR, Walmart/Synchrony, Chase FU, Chase AMZ.
Community Leader
Senior Contributor
Posts: 4,995
Registered: ‎04-27-2014
0 Kudos

Re: Has anyone used Samsung Financing?


xenon3030 wrote:

If not in a hurry to buy a phone, wait for a few more weeks and buy a new one with a large discount on black Friday...


  Probably the smart thing to do. But, anyone who owned the (exploding) Note 7 get's a little extra from Samsung on a pre-order. Not enough in my book but It's done.

 

  Thanks for the reply


Senior Contributor
Posts: 7,076
Registered: ‎04-11-2016
0 Kudos

Re: Has anyone used Samsung Financing?

Not only would this be a HP and result in the account reporting to the CRAs, but there's a very good chance that it would be coded as a consumer finance account. These types of accounts can have long lasting negative impacts on your credit score
New Contributor
Posts: 131
Registered: ‎08-06-2017
0 Kudos

Re: Has anyone used Samsung Financing?

Why does a consumer finance account degrade Fico score? Is it also the case if purchasing phones, etc. from some carriers like Verizon or AT&T (monthly payments requiring HP)?


Current:::::::::::::EX8=740, EQ8=740, TU8=760.
12 month goal: EX8=800, EQ8=800, TU8=800.
AMEX BCE, AMEX PRG, AMEX HH, Discover CR, BOA CR, BOA Better CR, BOA TR, Walmart/Synchrony, Chase FU, Chase AMZ.
Senior Contributor
Posts: 7,076
Registered: ‎04-11-2016
0 Kudos

Re: Has anyone used Samsung Financing?

CFAs have historically been viewed as "last resort" lines of credit, even if that isn't really the case today.  As a result, they are adversely looked upon by the FICO algorithm.  Many people have reported the negative reason code, "Presence of a consumer finance account" as a factor hurting their score.

 

If one is considering a purchase at a store and taking on a CFA to do it, they're better off using a 0% CC offer or similar means to make the purchase.  Same end result cost wise, but not long lasting negative impact to your credit scores.  Some feel that CFAs can even adversely impact score after the account is closed, as long as it is still on your credit report.  This means that for 10 years following the closure of a CFA in theory it could still be negatively impacting your score.

Moderator
Posts: 15,380
Registered: ‎10-07-2014
0 Kudos

Re: Has anyone used Samsung Financing?

[ Edited ]

xenon3030 wrote:

Why does a consumer finance account degrade Fico score? Is it also the case if purchasing phones, etc. from some carriers like Verizon or AT&T (monthly payments requiring HP)?


No, because those payment arrangements do not report as an account to the CRAs, therefore it can not be considered a CFA

Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.

† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
‡ Credit cards for FICO Score ranges: The score ranges are guidelines based on internal myFICO analysis of actual applicant approvals, and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range. These ranges were not provided by any card issuer.

* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.