Should I be added as authorize user or open new cards

[vikash1986]

Hi,

I recently went through some tough times and was forced to file for bk7. I received my discharge this month 10-16-15 and I am trying to map out the best course of options to rebuild my credit. Should I go ahead and apply for new cards like cards from cap1 or store cards within the next few months or should add myself as authorize user on DH 3 accounts that are prefect for the past 7 years then apply for my own cards. Do you think adding myself as an authorized user first will help me when I apply for my own credit cards. I am hoping to wait another 6 months then apply for capital one.. Also to add I do have an auto loan thats being paid on time...

Thank you in advance for your prompt responses..

Thank you.

[CH-7-Mission-Accomplished]

You will do better if you get the aged, perfect credit AU accounts first.  They will boost your scores and this should give you higher approval odds and higher starting limits for your own cards.

So are all those cards in your signature now gone from the BK?

[Anonymous]

I'd get added as AU on the cards first - wait a month or two (time to report) and then start hitting some prequal sites (Cap One).

[vikash1986]

Thanks for your input it makes sense to be added first and then apply. Yeah everything is included in the BK. I wanted to avoid USAA but a customer service rep told me that i dont get to pick or choose which account I include once they recieved the BK notice from the court. I still have the car note with them paying every month. I am not sure if they will be nice to me if i pay the $1500 that was include in the BK. Sadly, over 120k was discharge and it feels awful for the credit card companies that was so generous in the first place. Most of my CC debts went to paying medical bills.

Thanks

[RobertEG]

When rebuidling, it is usually beneficial to obtan the score boost if the AU provides such a boost.

The downside of having an AU in your report and scoring is that it automatically means that any score does not reporesent only your own credit history/risk.

If you are applying for types nad amounts of credit where the creditor will routinely do a more thorough manual reveiw, then the potential creditor will not obtain a score that represebts only your history/risk, which might cause the credtior to question the value of your score.

However, when applying for rebuilder credit, the credior will often rely primarily or only on your score, and not do a manual review that leads to questionsing of your score based on the inclusion of the AU.  AU addition is helpful during rebuilding, but can become an issue when applying for higher leveles of credti.

[vikash1986]

Thank you for you detail advice and I totally understand that it my not worth much when a manual review is done but my thinking is that once I am able to open 2 or 3 tradeline I will just use it a little as possible and pay in full each month for the next 24 months then just remove myself as AU and hopefully 24 months of good history should give me the solid start that I need to regain high scores. Also I want the boost to allow a decent credit limit.... what do you think...

Thanks again.