Amazon/GEMB does not like "Finance Companies"

[Anonymous]

I applied for the Amazon Store card and they rejected my application for the following reason:

NO RECENT REVOLVING BALANCES
NUMBER OF CONSUMER FINANCE COMPANY ACCOUNTS

My AAoA is 5 years, $18400 total credit lines with 11% util on three credit cards, 2 paid auto loans (no lates), and 2 current auto loans.

One of the current auto loans is actually a motorcycle loan through an Orange, CA based company called Model Finance Company.

Geez, these "finance companies" must be pure evil before GEMB. 

[LS2982]

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@Anonymous wrote:

I applied for the Amazon Store card and they rejected my application for the following reason:

NO RECENT REVOLVING BALANCES
NUMBER OF CONSUMER FINANCE COMPANY ACCOUNTS

My AAoA is 5 years, $18400 total credit lines with 11% util on three credit cards, 2 paid auto loans (no lates), and 2 current auto loans.

One of the current auto loans is actually a motorcycle loan through an Orange, CA based company called Model Finance Company.

Geez, these "finance companies" must be pure evil before GEMB. 

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Really?? wow....

Never seen that reason for denial.

[pizzadude]

That's like the infamous "guilty by association" denial reason, when you are denied because of experiences they had with OTHER consumers who have the same creditors as you......

[Anonymous]

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@pizzadude wrote:
That's like the infamous "guilty by association" denial reason, when you are denied because of experiences they had with OTHER consumers who have the same creditors as you......

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Looks like I should to write to Model Finance Company and offer a lump sum payoff amount Pay for Delete soon! 

[MarineVietVet]

If you'll look at page 4 of the FICO Risk Score Reason Codes for all 3 CRA's Score Code #6 says: Too many consumer finance accounts.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

[RobertEG]

Consumer finance companies almost always charge higher fees than banks and other large lending institutions.

Back in the day, many consumers had no choice but to rely on local finance companies, as they lived in rural areas that were not serviced by large lending institutions.  Today, that is no longer the case, as consumers have the ability, regardless of locale, to obtain financing through such institutions electronically.

As such, when a consumer has relied upon a finance company for their credit, it is viewed as most likely due to their inability to obtain better financing.  In a nutshell, it is an inference of potentially bad credit.  Right or wrong, that seems to be the prevailing view.  It is apparently the view of the Amazons.....