How do transferred accounts impact credit?

For just about anything you want to get off your chest about credit cards.
4 posts
DGenerateKane
Centurion Member
Centurion Member
 
Posts: 108
Joined: Wed Jan 14, 2009 5:59 pm
Location: Earth

How do transferred accounts impact credit?

Postby DGenerateKane » Sun Dec 08, 2013 6:20 pm

I've got two examples I'm curious about. First, as some of you may know a few years ago the Sony Card was transferred from Chase to Capital One. I saw on my credit report that the account showed up as closed, and a new account opened. So how does that impact my credit? Does it adversely affect my credit because my average age of accounts isn't what would be if the card stayed with Chase?

Second, I had my AmEx Blue Cash card transfered from the old tiered one to the newer one without a tier. I'm not sure how it appears on my report, so I don't know if it shows up as a closed account and a new one opened or if it is still the same account.

I'm curious because I was thinking of having my Discover More card converted to the It card since the It card isn't tiered, and I see you can get your FICO score for free which I haven't heard is available with the More. But, I'm not sure it is worth it if it does affect my average age of accounts. Right now, that is what is hurting my credit the most.

So, anybody know if transfered/converted accounts affect the average age of accounts?


MemberSince99
Centurion Member
Centurion Member
 
Posts: 4913
Joined: Sun May 20, 2012 4:35 pm
Location: WI

Postby MemberSince99 » Sun Dec 08, 2013 8:20 pm

Converting to the IT will NOT affect your score of AAoA in any way. The IT will use the same open date as the More - that's how they did it with mine and I'm sure that wouldn't have changed.

flan
Centurion Member
Centurion Member
 
Posts: 387
Joined: Tue Apr 09, 2013 10:16 pm
Location: chicago

Postby flan » Sun Dec 08, 2013 8:28 pm

It depends on how it's done. In the case of the Chase -> cap one conversion, yes, you're taking a new account ding, and the ding for lower average age. (on the plus side, you get another account that's got (presumably!) a good payment history.)

In the case of Amex, they're probably not reporting any change. Credit card companies don't report that you have a particular product, just that you have one. Occasionally when you do a change, the old account gets marked as closed, and a new one opened, but it's unusual. (And, in the particular case of amex, they'll report the open date of any new account as the year you opened your first amex.)

Discover won't report any change. (and they don't change the card number, and you can keep using the old card.)

takeshi
Centurion Member
Centurion Member
 
Posts: 1733
Joined: Wed Jun 05, 2013 3:12 pm
Location: US

Postby takeshi » Mon Dec 09, 2013 8:57 am

DGenerateKane wrote:I've got two examples I'm curious about. First, as some of you may know a few years ago the Sony Card was transferred from Chase to Capital One. I saw on my credit report that the account showed up as closed, and a new account opened. So how does that impact my credit? Does it adversely affect my credit because my average age of accounts isn't what would be if the card stayed with Chase?

How is it reported?

DGenerateKane wrote:So, anybody know if transfered/converted accounts affect the average age of accounts?

There's no one-size-fits-all answer. Sometimes the old account is closed and a new one is opened with a different opening date. Sometimes they use the old opening date for the new account. Some product changes don't change the opening date. Some product changes lead to closure of the old account and opening of a new account.

IIRC AmEx and Discover should do a proper product change that does not affect account opening. I can't speak to the Sony card.



Return to “General Credit Card Talk”

Who is online

Users browsing this forum: No registered users and 2 guests