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Mortgage Grapevine

What is an SCN number? And is it legit?

Is this some kind of scam? An alternate number to avoid bad credit associated with your SSN?
by Encompass mama June 3, 2008 12:00 AM


I´ve heard of a CPN number for a person to set up a new bogus credit profile but not an SCN.

by Just a broker June 3, 2008 12:00 AM


One of my loan officers was asking about it and I had never heard of it before. I checked with one of my contacts at one of the bureaus and this is what he had to say about it.
"I asked some of my co-workers about this. Their response is that this is similar to a business setting up a Tax Id # for the company use. Itís legal, but a little unethical to a point in my opinion. This has been around for some time now. From what I have gathered something like this would benefit individuals that have low credit scores, maybe due to a bankruptcy, or several derogatory accounts, or other circumstances. This would allow them to establish a new file with the credit bureaus using the new SCN # for reporting purposes.


The new SCN # would allow the individual to start from scratch so to speak by establishing new credit lines that would not directly relate to their current file at the bureaus. Thus being able to establish some form of positive results and give the appearance of having good credit.

This is a situation where itís a great idea for those choosing to do this. However itís also a shady way to be able to hide the original info that could be damaging to a prospect. It goes back to the old adage. If your provided with a loophole, take advantage of it. So most likely those that choose to use this as an option are usually trying to hide something they donít want you to know about. As you know most consumers donít have any idea about the 1974 US Privacy Act that gives consumers the right to refuse providing their SS # on applications. And those that do are very few. So anyone wanting to set up something like this is most likely looking to cover something up.

This is just another option available to show positive but incomplete info like when you used to be able to pay ďXĒ to have someoneís positive tradeline reported on your file by being added to Mr. Yís account even though you donít know who Mr. Y is and he doesnít know who you are. But the tradeline that he makes payments on could be reported on your file as well. As you know this process is also being investigated and several that offer this are being prosecuted for one reason or another.

My opinionÖ Pay your debt. Donít make purchases you canít pay for. If you have bad credit now and set this up to fool those you donít want to know the real story. Eventually you will be in the same position as prior to creating this new SCN because if your payment/lifestyle doesnít change the results will eventually be the same."

We are not going to allow it, but thought I would share this info with you guys. EM

by Encompass mama June 3, 2008 12:00 AM


Actually, i know several people who have them it is not a scam, please research before you talk about things, One guy was on his job for 15 years he got let go he got behind on his MTG and he couldn´t get back on his feet, lenders would not refinance him so he got an SCN (got a loan) and paid his Mtg current and then refinanced

Another lady went through a bad divorce husband left her with 3 kids and several bills, she did not work when they were married, when they divorced she got a number and was able to purchase a car after the repossesion of 2 of his

So please be careful what you say, it is legal, as long as you dont abuse it
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by ThomasJackson June 22, 2008 12:00 AM


Hello I just came across this website, I recently recieved a Secondary Credit Number from (www.newcredithistory.net)4 months ago.
I recieved instant credit but my purpose for the number was to secure an appartment, on my social I had student loans,they were paid on time but the debt to income is what they claimed so I would get denied. I did my research on the numbers before purchasing. The secondary credit numbers are legal based on some privacy act.It just makes you more responsible!
by Jeanne from Ca November 5, 2011 11:16 AM


Look, I know this is an old post but I can't leave this page without saying something!! First of all "Encompass Mama"...I'd like you to understand something. Most people who are paying for a new credit file ARENT trying to hide from mistakes they've made!! They all have been informed by the third party providing this second chance that this number is NOT to be abused!
Do some still abuse it? Of course!! People are people!!
Secondly, there are more people educating themselves in these modern days now about these laws, statutes, executive orders, etc...than in our entire history before! So let's not "assume" that "most consumers" haven't a clue because most educated and responsible consumers DO!
Thirdly, who are you to place blame or judgement on someone's decision to open another LEGAL and LAWFUL credit file!? Really? Are you aware of their financial situation? If the 1974 US Privacy Act allows anyone with an SS number to not have to disclose it then who are you to throw personal judgements at them for using this to their advantage?
If someone needs to start over, they SHOULD have that right! I'm sure you've made financial mistakes throughout your life! We all have while learning the ropes of personal finance and budgeting!
So YES, most people securing an SCN ARE trying to cover up what is rightfully theirs TO cover up! Not to be deceitful, but to give themselves another chance to get it right...
And people like Encompass Mama with their judgmental personal opinions are the same ones enslaving the rest of us to impossible policies and statutes these banking institutions are forcing on us as consumers!

My advice to you, Encompass Mama, is to stop spewing personal judgments as fact and stick to doing some research and some technical analysis on the matter so you can come to the public forum baring fruit and not thorns!

K. Walter
Sovereign American
by Kwalt75 April 13, 2014 8:29 AM


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