Credit Cards

[anderl]

Hello to all-hope everyone enjoyed their 4th of July! Just had a question-Is it a good idea to become an AU on a JC PENNEY/MACYS store card w/a long, clean history -10yrs.-in helping to establish and improve credit/scores.My stepdad has offered one of his cards that he hasn't been using that he does not want to close. Thanks!

Message Edited by anderl on 07-05-2009 09:46 PM

Message Edited by anderl on 07-05-2009 09:48 PM

[haulingthescoreup]

Rule of thumb for going AU: the account should be:

1. older than your AAoA (average age of accounts)
2. immaculately clean, no baddies anywhere
3. always paid in full, or with an occasional minimal balance that is promptly paid off
4. reported to all three credit bureaus (not all AU cards report)

If his card meets these criteria, then yes, it should help.

One personal comment about going AU for the sole purpose of helping your credit: I'm AU on my husband's Discover card, to get some additional history. (I was a "housewife at home" for a long, long time, with no credit in my name.) I love my card --it's very pretty; the Monet "Nymphaea" design --but I never use it. It sits in my drawer, in the dark.

IMO, if someone is generous enough to offer to help someone build/ rebuild their credit, the ethical thing to do is to not use the card and potentially cause problems for the actual cardholder. Like I said, just my take on it.