What Does "Unrated or Bankruptcy" Mean?

[Anonymous]

I just looked up my score on TransUnion, and one of my closed CC accounts, Capital One, is reporting my status as "unrated or bankruptcy." I've never claimed bankruptcy. Does this status affect my credit score? My TU score is lower than EQ but higher than EXP, and on those two CRAs, Capital One isn't reporting this status, just as "OK."

[Tuscani]

It's a neutral/positive status. A very common way, albeit slightly odd in phrasing, that TU codes some of its old positive tradelines is what produces that particular status line.

An underwriter seeing that comment won't assume that a BK was involved. Without evidence of an actual BK, the underwriter will know the tradeline is unrated. Nothing negative is being reported about it.