@marty56 wrote:Probably the CC. I dont like the sound of a secured loan. Has sub-prime written all over it.What is the specific nature of the secured loan.
What constitutes a secured loan?
I currently have a computer loan for a little less than $2k from OCTFCU, and it is reporting to EX as a Secured Loan, but reports "correctly" to EQ and TU as a regular "installment Loan".
I had no clue that a Secured loan was looked at as subprime; with all of the other prime accounts that I currently have, I wonder how it would look on a manual review.
Starting Score: EQ 773, TU 766
A secured loan would mean that they physically have some of your assets to guarantee the loan, like a bank account.
I think it might raise questions on a manual review. You might start with a call to the credit union, to see if the loan is coded in some way that would make EX show it as secured, but not the other two.
It doesn't affect your scores, but as you said, it might be a problem on a manual review.
edit: wrong villain listed!
Message Edited by haulingthescoreup on 01-13-2008 04:18 PM
I think it might raise questions on a manual review. You might start with a call to the credit union, to see if the loan is coded in some way that would make EX show it as secured, but not the other two.
It doesn't affect your scores, but as you said, it might be a problem on a manual review.
edit: wrong villain listed!
Message Edited by haulingthescoreup on 01-13-2008 04:18 PM
Wow, OCTFCU is certainly wreaking quite a bit of havoc on my credit reports, they are only reporting things correctly to two credit bureaus, but they seem to mess one of them up all the time...
I do have a checking account with them, and with that also comes some Overdraft protection of $300. That account is reporting correctly to EX as a "Check Credit or Line of Credit", correctly to TU as "Overdraft/reserve checking account", but incorrectly to EQ as a Revolving account.
Great, just great - now lenders will think I have a $300 credit card or something. That brings down my average credit line by quite a bit : (
Edit: I am afraid to contact OCTFCU and ask them to report correctly, because I have heard horror stories of TLs suddenly vanishing completely from the credit report, and people having little to no success getting the credit bureaus to report it again. The entire disputing process has me quite scared.
Message Edited by andyaycw on 01-13-2008 03:41 PM
I do have a checking account with them, and with that also comes some Overdraft protection of $300. That account is reporting correctly to EX as a "Check Credit or Line of Credit", correctly to TU as "Overdraft/reserve checking account", but incorrectly to EQ as a Revolving account.
Great, just great - now lenders will think I have a $300 credit card or something. That brings down my average credit line by quite a bit : (
Edit: I am afraid to contact OCTFCU and ask them to report correctly, because I have heard horror stories of TLs suddenly vanishing completely from the credit report, and people having little to no success getting the credit bureaus to report it again. The entire disputing process has me quite scared.
Message Edited by andyaycw on 01-13-2008 03:41 PM
@andyaycw wrote:
Edit: I am afraid to contact OCTFCU and ask them to report correctly, because I have heard horror stories of TLs suddenly vanishing completely from the credit report, and people having little to no success getting the credit bureaus to report it again. The entire disputing process has me quite scared.
* Generally * , this happens when disputing a closed credit line. You ought to be OK disputing an open line, at least in terms of it not vanishing on you. But Lord knows, no guarantees with this stuff!
@andyaycw wrote:
@marty56 wrote:Probably the CC. I dont like the sound of a secured loan. Has sub-prime written all over it.What is the specific nature of the secured loan.
What constitutes a secured loan?
I currently have a computer loan for a little less than $2k from OCTFCU, and it is reporting to EX as a Secured Loan, but reports "correctly" to EQ and TU as a regular "installment Loan".
I had no clue that a Secured loan was looked at as subprime; with all of the other prime accounts that I currently have, I wonder how it would look on a manual review.
Secured loans are fine. In fact many secured loans have great prime rates or better than prime because of the lower risk to the lenders. Mortgages and Auto loans are also secured loans. What's wrong with showing that you have assets that you are willing to use to show creditability. I always ask if I secure my loans will I get a lower rate. FICO does not hurt you for secured loans.
The other argument is that someone is less likely to walk away from a secured loan because the bank will take the secured part of the loan. I personally think that if you have decent credit the secured part can be very positive on a man review showing that you are have and are willing to use assets for this loan or seeking a lower rate. However if you have bad credit it could look sub prime.
CF- Consumer Finance loans are not generally secured and carry higher rates. If you were lucky enough to get a positive title for a Consumer Finance account consider your self extremely lucky. Identifying CF loans can be tricky. MyFICO is good at letting you know if you have any CF accounts. Can't say I've ever seen the title "Secured" on any CF installment. Check your "MyFICO CR". Might be a pos installment.
Secured loans are different from secured credit cards.
Message Edited by ilovepizza on 01-13-2008 09:44 PM