So I think I have 3 if I am not mistaken 2 are lender loans (I'm pretty sure since they all don't show in the same section) I was playing around with middle/end of last year and one is for a Vacuum I bought earlier this year LMAO yes that's right a Vacuum. My question is I didn't find out until recent they are considered Consumer Finance Accounts and that is a Nega No-No. If they are paid off early would it updated earlier so instead of counting the years at the end of it will it start the clock when it is paid off?! And my second question is How long do they stay negatively affecting your information or are they different years for loan type and product type?! ((If this is in the wrong section please move Sorry))
The 2 lender loans say OTHER for the Loan Type but the Vacuum says Unknown LMAO but it says the lender is literally United Consumer Finance sooooooo I know that is one of the 3 and I'm assuming the other 2 is the 'Other' Loan Type?!
@Anonymous That is great to hear sorry I just saw this reply today
@Anonymous wrote:
As long as the account is on your credit report.
As soon as you pay it off and close it, the clock begins to tick.
Who knows you might be able to get them to drop off early.
Sadly the information is listed as positive even if a CFA is clearly a negative.
There's no redress for this situation that I'm aware of other than waiting the 10 years since account closing unless you get lucky and Equifax drops the tradeline early. I basically avoid anything like this anymore, admittedly I have the luxury of doing better than OK these days (when my greatest source of financial stress is dumping half of my Tesla stock in the aftermath of the 420 tweet, oh well) financially but once bitten on a CFA twice shy even though the penalty is small.
@Revelate So it's a standard 10 year for each and that clock starts after it's paid off or once it starts reporting?!
@Girlzilla88 wrote:@Revelate So it's a standard 10 year for each and that clock starts after it's paid off or once it starts reporting?!
Yup it's positive tradeline. Actually all tradelines stay for 10 years after closing so even if it went negative while the deliquencies clear out at the 7 year mark, the actual tradeline is still there and my assumption is it would still be counted as a CFA even with no payment history on it.
At this point I'd probably do whatever makes the most sense financially and if that's slow paying then doing that, 10 years vs. 10 years + 6 months is really pretty irrelevant.
To the best of my knowledge, other than revolving accounts, anything that is installment or other *could* be a CFA. There's just no tag in the dataset that says "LOOK HERE, THIS IS A CFA!" Pretty much nothing by a national bank or credit union, but all of the other financing places meh... it seems like more and more of them are being flagged as CFAs now.
That sucks TBH and I really wish they would fix that. Admittedly there's nothing we can really do so it probably would fall under the category of adding insult to injury but it'd be nice to know.
@Anonymous So for the other two Creditors one is Company Name: World Finance Co, and the other is Lending Club Corp