I just checked my credit report and I have a credit card listed as "Closed by Grantor". The card was closed after debt management. My credit score is in the excellent range, should I be overly worried about this and how would I go about changing it?
2006-11-30 04:41:23 · 4 answers · asked by lvrgrll 1 in Business & Finance ➔ Credit
Closed by grantor means that the bank or agency that held the card (Amex, bank of america, etc). Closed the account.
Closed by holder/owner means that you called in and closed the account.
This does not have an enormous impact on your actual score but may in some cases affect how a loan agent would grant you funds.
Typically if the account is closed and there is no balance the effect is completely negligible, so if you have completed the debt management program and have paid the debt off you have nothing to worry about, especially if your score is in the excellent range. If the account has been delinquent a lot, and has a large balance AND says closed by grantor - it means that you ware a bad customer did not pay on time so they shut off your credit line.
The purpose of your credit score is to convey the level of risk that you present. The score is a quick way of knowing what type of consumer you are, however lenders base their decisions on a variety of factors (not just the score).
Also rememeber that anything that happens on your credit report that is negative has less and less of an impact on your score over time--think of the ripples on a lake after a pebble is thrown into the water. At first there is a big splash and big ripples... by the time it spreads out to the shore it is only a tiny wobble.
Best of luck.
2006-11-30 06:45:38 · answer #1 · answered by E-Rock 3 · 0⤊ 0⤋
Can't change it because the card was closed by the grantor and not closed by you.
Depends on how long ago it was and how many are listed that way on your report. If your score is now in the excellent range and you keep it that way you shouldn't need to worry about it.
2006-11-30 12:49:09 · answer #2 · answered by parsonsel 6 · 0⤊ 0⤋
I would only worry about it if you noticed that it was closed recently.
If it was a long time ago then obviously it hasn't affected your score.
Remember that 65% of your score is from how timely you make payments and the amount of outstanding credit.
Who closed the account is not a factor at all.
2006-11-30 13:18:39 · answer #3 · answered by markmywordz 5 · 0⤊ 0⤋
No, who closed the account does not go into the FICO scoring model. What DOES count however, is the Current Status. So make sure the Current Status reads "PAYS AS AGREED".
2006-11-30 13:11:04 · answer #4 · answered by Kevin K 3 · 0⤊ 0⤋