Another Question and Opinion Needed

Anonymous · ‎01-03-2015

So earlier I asked a question about being an authorized user on a account with a hight balance but a cc age of 12 yrs. This made the average age of my two individual accounts 5yrs even though the oldest is 2yrs old. This aging of my accounts helps but the high balances are effecting my ulitlization ratio making it 96%. The family offered to remove me as a authorized user on that card and instead place me on one that is 17yrs old and has a lower balance. All together my ulitlization ratio should go down to around 65% and average age of accounts to 6.6 or 7yrs . Do your think this would help my score at all or not really affect it at all.

gdale6 · ‎01-03-2015

@Anonymous wrote:
So earlier I asked a question about being an authorized user on a account with a hight balance but a cc age of 12 yrs. This made the average age of my two individual accounts 5yrs even though the oldest is 2yrs old. This aging of my accounts helps but the high balances are effecting my ulitlization ratio making it 96%. The family offered to remove me as a authorized user on that card and instead place me on one that is 17yrs old and has a lower balance. All together my ulitlization ratio should go down to around 65% and average age of accounts to 6.6 or 7yrs . Do your think this would help my score at all or not really affect it at all.

Yes it will affect your score it should gain some points. The usual rule of thumb with AU accounts is if more than 10% of their CLs are being used and reported then it isnt worth the trouble as the high balances will be doing more damage than not having it at all. I do know that when I removed a family member from one of my Cap-1 accounts it still remained on file it just became a 0 balance with the notes relationship terminated and it still was helping for AAoA purposes. Welcome to MyFico

Anonymous · ‎01-03-2015

So then if my family adds me to the 17 yr old card and the 12 yr old card only remains for AAOA purposes then my average age of accounts should goto 8yrs 17+12+2+1=32. Which might help offset the 65% utilization ratio since the card with the extremely high balance should show a zero balance. Not by much of course, but I'm getting ready to buy a car next month and by God every little bit helps.

Anonymous · ‎01-05-2015

What is your UTI% without ANY AU account?

Having long AAoA is nice, but its STILL only 10% of your score, while UTI% is 30%.

RobertEG · ‎01-05-2015

The same consternation you are having about the possible impact on scoring of the AU card will also be faced by potential creditors when reviewing any application for credit.

They will similarly not know or be able to determine the impact on your score of credit history that is not yours, and may choose to give less weight to your entire score in their determination.

The more impact an AU might potentially have, the less your actual score might mean to a creditor who wishes to evaluate your own credit risk.

Kirmie2010 · ‎01-06-2015

I dont know if it will help much that is still a huge utilization.

When my accounts went from 42% to 34% utilization I gained 30+ points (fako scores but still biggest gain ever for me) 570s to 600s.

My utilization was 56% a few months back, when I reduced it to 42% I didnt really see any change.

I think keeping your utilization down below 10% and removing yourself as an AU altogether would be better than having a longer AAoA.

But I dont know, I base what I say off of what my reports have done. Adding my wife as an AU to two 7 month old cards is what got her capital one approvals though.