12-14-2012 07:48 AM
I'm added to my brother AU that has $10000 CL, no lates and low utl and I'm planning to get my car loan refi, will that AU stay in my CR or is it like mortgage loan where they'll take AU off?
12-14-2012 08:50 AM
Awesome, good to know. Thank you.
12-14-2012 12:08 PM
While having the credit of another report to your file and be scored by FICO is acceptable under the current credit reporting system, it does have a price.
When any party pulls your CR and score, they may choose to base their lending decision only or primarily on the score. Quick and easy. In that event, the AU does not become a real issue. Thus, a great way for some to rebuild credit.
However, when you move up in the principal requested for a loan or in the amount of CL on a revolving account, the risk to the creditor increases, and thus usually their level of scrutiny. Looking past the raw three digit score, and seeing that it is based partially on the credit history of another, they may wish to see what your score is based only on your own credit history. They simply have no way to do that, as they dont have a copy of the FICO algorithm upon which to produce a score that reflects anything other than your full credit report. Thus, they might either ask you to remove the AU reporting, or they may choose to discount the value of the score in their decision making.
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