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Please help!

anfbaseball28
Established Member

Please help!

Is it bad to close CFA account?  I know I have like 6 of them and they are all at $0 balance.  Should I just close them or just keep them?  CreditKarma says I have too many lol...

Message 1 of 7
6 REPLIES 6
jamie123
Valued Contributor

Re: Please help!

 


@anfbaseball28 wrote:

Is it bad to close CFA account?  I know I have like 6 of them and they are all at $0 balance.  Should I just close them or just keep them?  CreditKarma says I have too many lol...


What is a CFA if I may ask?


Starting Score: EQ 653 6/21/12
Current Score: EQ 817 3/10/20 - EX 820 3/13/20 - TU 825 3/03/20
Message 2 of 7
Gunnerboy
Frequent Contributor

Re: Please help!


@jamie123 wrote:

 


@anfbaseball28 wrote:

Is it bad to close CFA account?  I know I have like 6 of them and they are all at $0 balance.  Should I just close them or just keep them?  CreditKarma says I have too many lol...


What is a CFA if I may ask?


A consumer finance account. This is a tradeline from a consumer finance company, as opposed to a bank or credit union, and with less favorable terms.



"Not everyone who helps you is a friend, and not everyone who challenges you is an enemy."
Message 3 of 7
Trudy
Valued Contributor

Re: Please help!

CFA = Consumer Finance Account.

 

I don't know the answer to the OPs question but here's an interesting thread.  

 

https://ficoforums.myfico.com/t5/General-Credit-Topics/Too-many-consumer-finance-company-accounts/td...

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Message 4 of 7
Brian_Earl_Spilner
Community Leader
Mega Contributor

Re: Please help!

You can't close an account that's closed. All you can do is write goodwill letters to get the lenders to stop reporting them 







Message 5 of 7
jamie123
Valued Contributor

Re: Please help!

Just by having a CFA listed in your credit report whether paid off or not will ding your scores for as long as they remain on your report.

 

A Consumer Finance Account is a loan that is usually taken out at a retailer to finance furniture or home appliances. Even some auto loans like from Honda Finance have been coded this way on reports. These loans are definitely the ones that are promoted as "Zero percent interest as long as you pay in XX months!" Stay very far away from these loans. Only take out loans through banks or credit unions or you run the risk of having your credit dinged for a long time.


Starting Score: EQ 653 6/21/12
Current Score: EQ 817 3/10/20 - EX 820 3/13/20 - TU 825 3/03/20
Message 6 of 7
Birdman7
Super Contributor

Re: Please help!


@anfbaseball28 wrote:

Is it bad to close CFA account?  I know I have like 6 of them and they are all at $0 balance.  Should I just close them or just keep them?  CreditKarma says I have too many lol...


@anfbaseball28 no it's not bad to close a CFA account. Although it may take 10 years for it to age off, sometimes they fall off early. 

One is too many. It's your choice whether to close them. 

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