Applied for Samsung Financing, but did not complete the purchase

[Anonymous]

Hi all,

Just wondering about the potential credit implications the act of applying for Samsung Financing will have on my credit. 

I have good credit, (780+) and I was offered a credit line of $3200 from Samsung. I ultimately did not make any purchase through them. 

Wondering how this may impact my credit report. 

[Anonymous]

I did a lot of research about them this morning when I was pre-ordering my s10+. They seem to fall into the category of Consumer Finance Accounts and are not looked at favorably by the credit bureaus. I avoided them for this reason and paid cash instead.

[Anonymous]

Yeah, I did the same but unfortunately not until I had already given them my SSN and they gave me a credit line back. I checked my credit report and there is a hard inquiry on the account. I'm not super worried but I'm just trying to figure out if I now have an active account and whether or not I should look into closing. 

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@Anonymous wrote:
I did a lot of research about them this morning when I was pre-ordering my s10+. They seem to fall into the category of Consumer Finance Accounts and are not looked at favorably by the credit bureaus. I avoided them for this reason and paid cash instead.

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[Anonymous]

Sounds like you definitely have an open account now. Not sure that closing it would even do much good now.

[Anonymous]

Samsung Financing counts as a consumer finance account (CFA) and it may show as a negative reason code on your credit report. I don't think it has been nailed down how many points this costs. I wouldn't suspect very much.

Here is an older post discussing it.
https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Samsung-Financing-dropped-Credit-Score/m...