Would canceling a cell phone contract go against my credit score, or prevent me from obtaining one later?
May 5, 2009
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Posted by admin
nhrule asked:
I will pay the expenses liés à the rA©siliation of the contract.
I will pay the expenses liés à the rA©siliation of the contract.
Categories: Personal Finance
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Tags: Cell Phone, Credit Score, Phone Contract
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probably.
since you signed a contract the contract has to expire or you pay what is owing for the remainder of the contract.
It was after all a contract
If you don’t pay what you owe, including cancellation fees, they will send it to a collection agency and it will go on your credit report. As long as you pay all charges and fees, its not a credit issue.
Assuming you are in the USA,
your credit score, FICO,
is concerned with a variety of your credit history,
spending habits, and expenditures,
the calculation of which is a closely guarded secret.
But, they are not concerned with your cancelling any contract,
unless you did so because of failure to pay, bankruptcy, etc,
and, even then, it is superfluous due to the non-payments.
Subsequent phone companies (or any utility for that matter)
would only care about your overall credit history,
not that you cancelled any contract,
except as described, above.