@thom02099 wrote:
@srcharp wrote:
I've had a prosper loan for a year right now and have found they report VERY sporadically.
It seems they report once every 3-4 months and finally report all the history they missed and update the current balance owed...then they wait another 3-4 months and report again...etc
A prosper loan actually hurts a credit score rather than helps it
Not entirely true. Empircal statements such as this are not universally applicable. Though it may have impacted you, others can and have benefited. As with any loan, there is the initial "ding" for the inquiry and new TL, but as time progresses, there are benefits to that TL. It all depends on one's TOTAL credit picture. If a Prosper loan is the only installment loan, then it can have an impact. If it's a 5th or 6th loan, it can also have an impact. It can be negative or positive, depending on how long term one looks at it.
Well, on my 3 CRs obtained when I applied for a mortgage refi last October the TU report lists among "Key Factors that adversely affect your credit score" is: "006- Too many consumer finance company accounts".
I only have 1 "consumer finance co accounts" - a $5k Prosper loan taken out last June, current balance under $4k. It was my only installment loan at that time, I've since taken out a car loan, but I can't test your theory of "if Prosper loan is the only installment loan it can have an impact - the car loan is with a CU that only reports to EX & EQ, and TU is the only CR that mentioned "too many consumer finance co loans".
And yeah, Prosper is sporadic at reporting, last Dec is the last time they reported. I'll go out on a limb and guess that if I were ever late on a payment that would change PDQ. And I'm selling my home and will PIF Prosper, but I'll go out on a limb and guess TU won't bump my CS 50 points for getting rid of "too many consumer finance co, loans".
