Nov
11
2009

Explaining account status descriptions, including “transferred, closed”

Dear Experian,

What does “transferred, closed” mean on an account?

- GER

 

Dear GER,

Every account entry has a description of its status.

The status line of the account briefly describes the condition of the account and its history. For example, it might be “open, never late.” That would mean the account is available to make charges and that it has always been paid on time.

In your example, “transferred” means the account was sent or sold to another party. It may have been to another lender, or the debt may have been sent to a collection agency. “Closed” means exactly what it says. The lender closed that account and removed it from its records.

Often, the account entry on the credit report will show to whom the account was transferred, and the new account may show from whom it was transferred so that you can easily track the debt through its history.

The lender or collection agency to which the debt was transferred is now the owner of that debt. You should work with that entity to make sure your payments are made on time or that the collection account is paid.

Thanks for asking.

- The “Ask Experian” team

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