Credit Cards Center Credit cards from our partners
Reply
New Visitor
Posts: 0
Registered: ‎10-12-2013

Types of Lender equals Bad Credit?

I was denied a recent loan from my Credit Union. Although all my accounts are current, we were trying to figure out my low score. The Consumer Credit Manager from my Credit Union advised me that the TYPE of LENDER people deal with can lower a credit score, regardless if the account is current or not. For instance, if you have an auto loan from a finance company that most commonly issues sub prime credit loans, that will lower the score.

 

Has anyone else heard of such an excuse?

Community Leader
Valued Contributor
Posts: 2,440
Registered: ‎11-29-2012

Re: Types of Lender equals Bad Credit?

Yes I have heard before that having a finance company rather than an auto loan on your report looks worse. I've also read that places like Amex won't give you the time of day if you have first premier on your report. I don't know if its true or not.

Starting Score: 11/29/12 TU 527; EQ 565; EX 564 fako - bk7 dc'd 2/15/13
Current Score: 1/22/15 TU 645; EQ 605; EX 633 New goal 675
Cap1 sec $1k (SD) / Fingerhut $2k / Flagship $12k / cashRewards $12k / NavChek $15k / Amazon $2k / Von Maur $1k / Firestone $2.2k / BCU $3k / NFL $1k / QS1 $750 / Target $400 / PPSC $800 / Conoco $700 (last app 09/29/14)
Highlighted
Established Contributor
Posts: 645
Registered: ‎09-27-2013

Re: Types of Lender equals Bad Credit?

Yup heard this. If you have credit from of sub prime lenders you could be viewed as higher risk.
EQ 773 * EX 786 * TU 797
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 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.

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.