I had a line of credit from Household Finance for $10,600. I had always made my payments on time but they are reporting 1 30 day late back in Jan 09. In 2008 I paid a $4500 payment which left my balance at $5400. When my balance went to $5400 they immediately sent me a letter lowering my credit line to $5400. Well it was a higher interest loan and I was trying to get my debt ratio lower so in 2009 I sent a payment for the balance to stop paying so much interest and get my debt ratio better yet again. Well then they promptly sent me a letter stating they were closing the account due to the economy, etc, etc... So now on my CR it lists date updated as 11/2010, 1 late payment, and "account closed by credit grantor". This was a joint account so it is showing up on my wife's CR also. Does anyone have any suggestions for me on this one??? I need to get a mortgage and things like this are really dragging me down. Thanks,
Credit issuers have been doing this to a lot of consumers during the past few years. You're not alone. The fact that the account was "closed by credit grantor" doesn't directly affect your FICO scores, although lenders may look at your credit reports and not particularly like when they see accounts closed by anyone but you. Unfortunately, there's nothing you can really do about Household closing your account. The late payment is what would concern me the most. Have you disputed it yet through the CRAs? If you were never late, you need to fight the late pay because it's definitely hurting your FICO scores.
I have reviewed all my records and I am 99% sure that I was never late. I am going to send them a letter and ask them to review the payment history and see if they will make the correction, unless you think that it would be better to do a dispute throught the CRA's? How many disputes are you able to do? I put a dispute on some inaccurate information on 8-31, hopefully I will get those results any day now.
You can try working directly with Household at first to see if they're willing to help out. If you get nowhere, dispute it through the CRAs and provide any documentation you have proving that you were never late. You can dispute different entries on your credit reports, so don't worry about the fact that you have another dispute still out there. That's not a problem.
