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Is this account hurting my credit worthiness?

PhDNerd
Member

Is this account hurting my credit worthiness?

Hi all,

 

I've been reading the forums over the last few months and I'm so glad I found this community. It is a wealth of information and a valuable resource. I'm in the process of trying to get my credit reports in as pristine of a condition as possible so I wanted to pose a question to the community and get a little advice.

 

First, a little background. In August of 2013 I opened a credit line with Mattress Firm (serviced by WF) to purchase a mattress as the terms they were offering were quite favorable.  I paid off the balance due in a timely fashion and have never been late. Fast forward to 2015 when it became necessary to purchase another mattress, I purchased it from Mattress Firm using the same account and the same terms as before. Again, I made regular payments and was never late. However, in July of 2016 WF closed the account with a balance remaining and put a CBG notation on my account. They never gave a reason for it and since there aren't any late payments or anything reported on the account, I didn't think much of it until recently.

 

After doing some reading on the forum and elsewhere, I'm now a little concerned that becasue the account was closed with balance it could affect the way creditors view my credit worthiness. Since it was finally paid off in 2018, I don't think it's affecting my score but I wonder how it could affect a creditor's decision.

 

Any advice would be appreciated.

Message 1 of 8
7 REPLIES 7
FireMedic1
Super Contributor

Re: Is this account hurting my credit worthiness?


@PhDNerd wrote:

Hi all,

 

I've been reading the forums over the last few months and I'm so glad I found this community. It is a wealth of information and a valuable resource. I'm in the process of trying to get my credit reports in as pristine of a condition as possible so I wanted to pose a question to the community and get a little advice.

 

First, a little background. In August of 2013 I opened a credit line with Mattress Firm (serviced by WF) to purchase a mattress as the terms they were offering were quite favorable.  I paid off the balance due in a timely fashion and have never been late. Fast forward to 2015 when it became necessary to purchase another mattress, I purchased it from Mattress Firm using the same account and the same terms as before. Again, I made regular payments and was never late. However, in July of 2016 WF closed the account with a balance remaining and put a CBG notation on my account. They never gave a reason for it and since there aren't any late payments or anything reported on the account, I didn't think much of it until recently.

 

After doing some reading on the forum and elsewhere, I'm now a little concerned that becasue the account was closed with balance it could affect the way creditors view my credit worthiness. Since it was finally paid off in 2018, I don't think it's affecting my score but I wonder how it could affect a creditor's decision.

 

Any advice would be appreciated.


Whats CBG? If theres no negs on the account. No harm no foul. You didnt closed the account. They did.

Message 2 of 8
PhDNerd
Member

Re: Is this account hurting my credit worthiness?


@FireMedic1 wrote:

@PhDNerd wrote:

Hi all,

 

I've been reading the forums over the last few months and I'm so glad I found this community. It is a wealth of information and a valuable resource. I'm in the process of trying to get my credit reports in as pristine of a condition as possible so I wanted to pose a question to the community and get a little advice.

 

First, a little background. In August of 2013 I opened a credit line with Mattress Firm (serviced by WF) to purchase a mattress as the terms they were offering were quite favorable.  I paid off the balance due in a timely fashion and have never been late. Fast forward to 2015 when it became necessary to purchase another mattress, I purchased it from Mattress Firm using the same account and the same terms as before. Again, I made regular payments and was never late. However, in July of 2016 WF closed the account with a balance remaining and put a CBG notation on my account. They never gave a reason for it and since there aren't any late payments or anything reported on the account, I didn't think much of it until recently.

 

After doing some reading on the forum and elsewhere, I'm now a little concerned that becasue the account was closed with balance it could affect the way creditors view my credit worthiness. Since it was finally paid off in 2018, I don't think it's affecting my score but I wonder how it could affect a creditor's decision.

 

Any advice would be appreciated.


Whats CBG? If theres no negs on the account. No harm no foul. You didnt closed the account. They did.


As far as I can tell, "CBG" stands for "closed by grantor" on a TU report.

Message 3 of 8
Acc-Risk
New Contributor

Re: Is this account hurting my credit worthiness?

I think it means Closed by Credit Granter. I have those on my report and it doesn't appear to be negative in any way. Mine came from store cards that just sat in a drawer unused and they finally closed the account. I would suspect that in the case of Mattress Firm, they perhaps switched who they were offering credit through so they closed the account.

Message 4 of 8
FireMedic1
Super Contributor

Re: Is this account hurting my credit worthiness?

No balance showing correct?

Message 5 of 8
dragontears
Valued Contributor

Re: Is this account hurting my credit worthiness?


@PhDNerd wrote:

Hi all,

 

I've been reading the forums over the last few months and I'm so glad I found this community. It is a wealth of information and a valuable resource. I'm in the process of trying to get my credit reports in as pristine of a condition as possible so I wanted to pose a question to the community and get a little advice.

 

First, a little background. In August of 2013 I opened a credit line with Mattress Firm (serviced by WF) to purchase a mattress as the terms they were offering were quite favorable.  I paid off the balance due in a timely fashion and have never been late. Fast forward to 2015 when it became necessary to purchase another mattress, I purchased it from Mattress Firm using the same account and the same terms as before. Again, I made regular payments and was never late. However, in July of 2016 WF closed the account with a balance remaining and put a CBG notation on my account. They never gave a reason for it and since there aren't any late payments or anything reported on the account, I didn't think much of it until recently.

 

After doing some reading on the forum and elsewhere, I'm now a little concerned that becasue the account was closed with balance it could affect the way creditors view my credit worthiness. Since it was finally paid off in 2018, I don't think it's affecting my score but I wonder how it could affect a creditor's decision.

 

Any advice would be appreciated.


If it is showing $0 balance and paid as agreed/never late it is NOT hurting your credit at all, in fact the age of the account is HELPING your credit. 

 

The notation of "closed by credit grantor" does not effect your score AT ALL. If is purely a cosmetic feature. There are some that claim it might "look bad" on manual review but I have never heard of someone being denied credit due to that comment. 

Scores hover around 800
Haven't been AZEO in over a year
Rome was not built in a day, neither is a good credit profile
Message 6 of 8
rgninja
Regular Contributor

Re: Is this account hurting my credit worthiness?

From my own experience, no one has ever asked me about the 10 accounts I have listed on my report as closed by credit grantor. Most are stores that went out of business but three were from lack of use. If it had been an issue I'm sure Alliant would have jumped all over it when I applied for their card a few years back.


Moving away from big banks and building my credit union relationships
Message 7 of 8
PhDNerd
Member

Re: Is this account hurting my credit worthiness?

Thanks everyone. I suppose I won't worry about it then.

Message 8 of 8
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