Negative Installment Accounts

[Anonymous]

What exactly are negative installment accounts? I don't have any collections on my account but have some negative installment accounts that I'm sure are affecting my score. They are only showing up on MyFico but not other credit sites. Thanks!

[Anonymous]

I believe it refers to the type of financing you would receive from places like furniture stores and such. Have you ever entered into a payment plan for furniture or appliances?

[RobertEG]

Do the accounts have any reported monthly delinquencies?

Negative usually refers to any payment history derogs being reported under payment history, even if the acount is now in good-standing.

[Anonymous]

No I just looked again and they are all student loans. I think they are ones that have been cosolidated.

[Anonymous]

I looked a bit more in depth. They are from around 2010-2011. It had a period of late payment over a couple of months and then it says "Payment Status OK" as of 2011. It's confusing.

[RobertEG]

Then the continued showing of monthly derogs is considered negative, even if the account is currently in good-standing.

Referencing the account generally as "negative" does not determine the scoring impact.

It is the impact of the individual derogs that affects scoring.

Monthly delinquencies that are very old are likely having little scoring impact.

[Anonymous]

Thanks for the feedback guys!

Do closed accounts negatively affect your score?

[RobertEG]

Closing does not remove any derogs reported on the account.

Yes, closed accounts can continue to negatively affect scoring.