I've been an authorized user on my parents' credit card since '05 (date of account open), but I never use the card. Recently, they've incurred some expenses and the balance is quite high compared to the limit (18k bal / 23k limit). I have several credit cards of my own with relatively low balances and low credit limits ($1500 bal total / $7500 limit), though they've only been open for about 2 years, as well as around 14,000 in student loan debt. I've never missed a payment on anything, ever, and my credit score is 703 (TransUnion and Equifax)
My question is: If I am removed as an authorized user on my parent's credit card, will the account still show up on my credit report? If so, would the ensuing reduction to my overall 'debt' (even though it's not really mine) compared to the total amount of credit (the extra 23k limit) be worth it compared to the benefit of the perfect payment history on the card for the last 4 years?
If you need more info to answer the question(s), please post and I'll provide what I can. Thanks.
Thanks for the info. I had a feeling that it was time to get my name off of my parent's card. My AAoA on my cards/SL is just over 2 years (without my parents card).
As for my credit score, yes, it's a 703 FICO score. As for the positives/negatives, the number 1 item is "high credit usage", followed by "number of accounts with balances" and then "short history". So I guess judging by that, bringing down my util by getting my name off of the AU card should be more beneficial than whatever positive I'm getting from the payment history of the AU card.
I will work on bringing down my util to around 9% as you suggested, though this will certainly take time as I'm currently planning my wedding (everything is so expensive!).
I also just realized that my student loans are showing up as 5 separate accounts on my credit report, even though I only pay one payment on all of the accounts each month. I guess technically it was 5 separate loans (2 my first year of college and 1 each of the other 3 years), but it's just kind of frustrating that it's showing up as 5 separate accounts. Perhaps I need to contact my student loan lender and ask about consolidating, though they are federal student loans and I know I won't be able to get better interest rates (already at like 3.9%). Thoughts?
Oh, and @Hauling, you may want to add this link to your signature: www.ftc.gov/moneymatters . It's the newly revamped FTC advice site for consumers (I work for the FTC investigating mortgage fraud
I have something of a large application coming up: law school loans. I'm trying to increase my credit score as much as I can in the next year so that I can get the best rates on whatever private loans I have to take out. I may just have to grin and bear it re: the student loan accounts, but it still can't hurt to give my lender a call.
Thanks again for your help!