topic Consumer Finance Account in General Credit Topics

Consumer Finance Account

CreditFun — Mon, 03 Aug 2020 19:56:16 GMT

It is impacting my EQ FICO 5 (mortgage) credit score.

"You have a consumer finance account on your credit report.

The presence of a consumer finance company loan on a credit report generally represents a higher risk to lenders compared to having no consumer finance company loans reported. Even if this account is reported as closed, it can still impact the score."

Which of these do you think are a consumer finance account?

Home Depot

Synchrony Paypal Smart Connect (credit line)

Macy's

Birks And Mayor/Cbna (jewelry store)

Bestbuy (Visa)

Target National Bank

Bmw

Carmax

Ally Financial (Auto)

Re: Consumer Finance Account

Girlzilla88 — Mon, 03 Aug 2020 20:12:15 GMT

I know the Home Depot CC is not, I have mine But there should be a way you can tell through your Report here or if you go to get your free annual credit report it should say there if I'm not mistaken.

Re: Consumer Finance Account

Girlzilla88 — Mon, 03 Aug 2020 20:16:33 GMT

The CBNA should be fine as well since I believe that is the same CitiBank North America that my Home Deport reports under Some Car Loans may show up that way but I'm not sure about those and some retail cards may show up that way. :/

Re: Consumer Finance Account

FlaDude — Mon, 03 Aug 2020 21:13:07 GMT

As a wild guess, I'd say one of the car loans, with the likelihood going up the further down your list they are.

Re: Consumer Finance Account

Anonymous — Mon, 03 Aug 2020 23:32:40 GMT

Probably Ally.

https://ficoforums.myfico.com/t5/Auto-Loans/Has-Anyone-Done-Business-With-Ally-Financial/m-p/5498000/highlight/true#M80888

Re: Consumer Finance Account

Anonymous — Tue, 04 Aug 2020 00:29:50 GMT

@CreditFun wrote:
It is impacting my EQ FICO 5 (mortgage) credit score.

"You have a consumer finance account on your credit report.

The presence of a consumer finance company loan on a credit report generally represents a higher risk to lenders compared to having no consumer finance company loans reported. Even if this account is reported as closed, it can still impact the score."

Which of these do you think are a consumer finance account?

Home Depot
Synchrony Paypal Smart Connect (credit line)
Macy's
Birks And Mayor/Cbna (jewelry store)
Bestbuy (Visa)
Target National Bank
Bmw
Carmax
Ally Financial (Auto)

I have an ALLY loan and I know for a sure it is coded as a CFA on Experian. Some of the other accounts that you have listed can be eliminated from possibilities. CFAs can not be revolving accounts.

Re: Consumer Finance Account

Anonymous — Tue, 04 Aug 2020 20:16:54 GMT

I can confirm its Ally Auto

Re: Consumer Finance Account

terren2000 — Mon, 17 Aug 2020 05:07:55 GMT

I came here for the same reason. Wondering why my mortgage score for Equifax was lower than my fico score. It said the same, and it appeared once I got a loan with Audi.

Re: Consumer Finance Account

dragontears — Mon, 17 Aug 2020 16:50:55 GMT

@Girlzilla88 wrote:
I know the Home Depot CC is not, I have mine But there should be a way you can tell through your Report here or if you go to get your free annual credit report it should say there if I'm not mistaken.

@Girlzilla88

Actually there is NO WAY to look at your reports and determine what is coding as a CFA. That specific coding is done by the algorithm and some times a loan from the same company will trigger the CFA reason code for person A and not for person B.

That being said, CFA are the myFICO molehill that everyone wants to make into a mountain (i.e. the actual effects on scores is normally less than inquiries).

Re: Consumer Finance Account

Girlzilla88 — Mon, 17 Aug 2020 16:54:06 GMT

@dragontears I was just stating they should be able to notice how it is reflected for them personally, not that everyone is the same but if it was put that way they should be able to deduce it since I am 9/10 sure which ones are mine based on how they were sorted/reported.

Re: Consumer Finance Account

dragontears — Mon, 17 Aug 2020 17:12:00 GMT

@Girlzilla88 wrote:
@dragontears I was just stating they should be able to notice how it is reflected for them personally, not that everyone is the same but if it was put that way they should be able to deduce it since I am 9/10 sure which ones are mine based on how they were sorted/reported.

That is my point, there is NOTHING on your reports that indicates that a specific loan will be coded as a CFA. CFA are not grouped differently than other loans.

For some with only 1 loan it is easy but for people with multiple loans (especially personal and/or auto loans) it is a guessing game as to figure out which loan(s) are being counted as a CFA.

Re: Consumer Finance Account

Girlzilla88 — Mon, 17 Aug 2020 20:47:34 GMT

@dragontears Mine Literally says United Consumer Financial Service loan type Unknown and on my other two it says OTHER on MyFICO if that is not a clear statement I don't know what is since it says it in the name XD. and is under Personal Account and Other Account on my EX they are the only 3 that are not under Auto, Real Estate, and Credit Card and I have 3. There is a way to figure it out you just have to be smart :3

Re: Consumer Finance Account

Anonymous — Mon, 17 Aug 2020 21:24:25 GMT

@Girlzilla88 wrote:
@dragontears Mine Literally says United Consumer Financial Service loan type Unknown and on my other two it says OTHER on MyFICO if that is not a clear statement I don't know what is since it says it in the name XD. and is under Personal Account and Other Account on my EX they are the only 3 that are not under Auto, Real Estate, and Credit Card and I have 3. There is a way to figure it out you just have to be smart :3

"United Consumer Financial Service" is just the name of the company. Not many companies put "Consumer Financial" in their name. And it does not imply that it actually codes as "Consumer Finance Account" (but probably it does).

Re: Consumer Finance Account

dragontears — Mon, 17 Aug 2020 22:06:02 GMT

@Anonymous wrote:
@Girlzilla88 wrote:
@dragontears Mine Literally says United Consumer Financial Service loan type Unknown and on my other two it says OTHER on MyFICO if that is not a clear statement I don't know what is since it says it in the name XD. and is under Personal Account and Other Account on my EX they are the only 3 that are not under Auto, Real Estate, and Credit Card and I have 3. There is a way to figure it out you just have to be smart :3
"United Consumer Financial Service" is just the name of the company. Not many companies put "Consumer Financial" in their name. And it does not imply that it actually codes as "Consumer Finance Account" (but probably it does).

This

There have been many cases of auto loans coding as a CFA even though it was a 0% APR through a captive lender (Ford, Honda, etc.)

But in the end it is still a molehill....