credit08 wrote:I have a Loan from American General and it shows on CR as Installment loan. The loan was for purchase of outdoor power equipment.This is how the deal was worked for me applied for credit thru, retailer granted credit from Am Gen they in turn PIF the retailer I repaid Am Gen In installments. The thing that I did not understand is I was approved for basiclly what is a credit line of $7500.00 but my purchase was only $1200.00. On my CR'S it showed CL $1200 Bal $1200 100% UTL from the start this decreased my FICO score that should have shown my CL as $7500 any input on this one?You were qualified/approved for $7500, but you only borrowed $1200 as an installment loan (fixed amount). If you want the $7500 line that you were approved for without taking it all at once, you would have to have the loan converted to a line of credit, which reports as "revolving". AmGen probably will not do that without going through the whole app process again.
If you have a CFL on your credit reports please answer these 3 questions.
1. What lender put a CFL on your credit report?
2. What specif reason was the loan used for?
3. Who did the money go to, payable to you or another lender?
I don't think they are in any special category on your CR like installment and revolving are. I don't they are marked "CFL" on your CR.Just when you get a score/report analysis, it is pointed out that you have a CFL.Back in last August, I asked about CFL and didn't think any of mine were CFL as it wasn't mentioned in the "What's hurting your score" section. However, now that I've cleaned some things up and there are less things hurting, the fact I have a CFL is listed in the "What's hurting your score" section.Because of the above situation, it leads me to believe that a CFL doesn't hurt your score that bad.I think it's wrong that it hurts at all. While mostly high risk people do get CFL, it doesn't make you anymore high risk because you have one. It should strictly be the HISTORY of your credit, not the TYPE of credit.Is it really important that you have a CFL with unreal interest rates? What is important is whether you make your payments or not.