Please assist. I am receiving the following message as a negative on my account:
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You have a consumer finance account on your credit report.
Number of consumer finance accounts on your credit reports accounts
 Only 12% of FICO High Achievers [?] have a consumer finance account. |
Consumer finance companies typically grant loans to people with poor credit histories. Their customers often cannot get loans from traditional lending companies such as banks or credit unions. These are often high-interest loans because the consumer finance company is assuming more risk by lending to people with less than perfect credit.
The fact that you have a consumer finance company loan on your credit report means that you represent a higher risk to lenders than someone with no consumer finance loans. Even if this consumer finance account is closed, it will still lower your FICO score. However, its impact on your score will lessen as time passes.
What to do about this: You should try to stay current with all of your payments and avoid opening any new credit accounts that you don't need.
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Based on the definition, I have never had, nor do I have a consumer finance account. I looked at other messages on this topic and one of the questions often asked was whether I had student loans. I do have student loans, but none of them are labeled as CFAs. My student loans have not been paid off and were borrowed in 2006-2009. 1) Who do I need to speak to to rectify this error? 2) What needs to be done to get this corrected? 3) How do I identify which accounts are being listed as such (all of the account descriptions say student loan)?
