Just closed on a condo two weeks ago, getting ready to make my first payment on April 1. I get a note from my original servicers, Taylor Bean & Whitaker, that I will now pay someone else. I've not even made a payment to them, but here's the potential good news - they're already reporting on EQ. So I've got a postive $300k+ installment loan on EQ, my lowest score. I suspect it will remain, so in the near future I could have two installment loans being reported. And if my mtg servicer changes again, could be more. Any comments about the effect this could have on my EQ score? Anyone have their mtg servicer switched and see higher (or lower) scores for multiple TLs?
I am in a similar situation....I closed in Jan and made 1st pmt to orig servicer, now the loan is with a new servicer. I have the orig svcr on EQ and TU, so It'll be interesting to see if it shows paid off or transferred, and if it's positive or stays the same. BTW, score only dropped 1 pnt when it was added to begin with. Mortgages show stability I am told. PLus I have a 1st and 2nd lien. So we'll see.
Same here - 1 point. Over time, should go up much more than that. I'm hoping the extra installment loan builds a nice boost for the ten years it will stick around.
It's standard for mortgage co's to bundle up their notes and sell them to larger carriers. You could have three or four different carriers by the time it all settles down. Whats worse they all have PP for inquiries (read your contract), sucks, and it dilutes your FICO. Will show on reports as "Transfered" but transfered mortgages usually dont affect FICO that much.
Re: Re: mtg servicer switched-is this good? Re-read the Gowen Letter. Selling a debt from A to B does not create PP, nor does having the account since it is not a revolving account. According to Gowen: "The terms of a closed-end credit transaction are predetermined and generally may not be changed unilaterally by the creditor unless the contract expressly provides for such action (e.g., in the event of default). Therefore, the creditor is unlikely to have a reason to consider "whether to retain or modify current account terms" and, thus, would not have any routine need to procure consumer reports to "review" its accounts." Under the premise that you cannot sign away your rights under law, even a contractual provision giving carte blanche to pull at any time in the future for any purpose would probably be unenforceable.
Re: Re: mtg servicer switched-is th Good point, and one that I forgot - installment contracts are not the same as revolving accounts. Not sure how wise it is, overall, to sue my current mortgage service company if they pull my CR, but I'll keep it mind. So far, have not seen an inquiry from the new company. The old one, Taylor Bean & Whitaker, pulled across the board a week before I closed.
