5 ms·

Is there any potential for an incident like this without a loan agreement to impact credit history / score?

• cosmie 7y ago
  Technically, anyone that's gone through the process to become a data furnisher can report anything they like to a credit bureau[1]. Although if they can't produce an agreement that denotes your confirmation of the debt or liability to pay for the service, then you can likely get it removed via a dispute. Which, incidentally, is the same principle behind most "fix your credit" services. They dispute the accuracy and validity of the entries on your report, and if the reporting entity can't produce the appropriate documentation (such as a loan agreement or equivalent), it'll get dropped from your history. And even if it doesn't, while it's actively in dispute it'll be weighted differently by most scoring models[2]. [1] https://smallbusiness.chron.com/report-bad-debt-credit-bureau-3709.html https://smallbusiness.chron.com/report-bad-debt-credit-burea... [2] https://budgeting.thenest.com/can-disputed-accounts-affect-credit-score-20802.html https://budgeting.thenest.com/can-disputed-accounts-affect-c...