Reply
Established Contributor
Posts: 576
Registered: ‎11-13-2008
0

Authorized Users and Credit Scoring?

Are authorized users credit cards still counting in the FICO formula? I am wondering if I add someone

to my account if their score will go up still or is that since been discounted from the scoring calculations on

FICO?

Super Contributor
Posts: 9,674
Registered: ‎01-28-2010
0

Re: Authorized Users and Credit Scoring?

Yes ~ AUs are still factored into your FICO score. There was talk at one point about FICO changing that, but they backed away.

Adding someone as an AU to your CC will add it on to their Credit report, including the balance, CL, payment history, etc. so obviously you want to make sure that you add them to a card in good standing.....
March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Highlighted
Super Contributor
Posts: 6,672
Registered: ‎04-07-2008
0

Re: Authorized Users and Credit Scoring?

And the beauty for the AU, no HP on your reports




Contributor
Posts: 80
Registered: ‎04-11-2007
0

Re: Authorized Users and Credit Scoring?

What happens if the AU is removed from the CC by the owner of the card? Does the account info still appear on the AU's CR after being removed from the account?

Super Contributor
Posts: 9,674
Registered: ‎01-28-2010
0

Re: Authorized Users and Credit Scoring?


poops wrote:

What happens if the AU is removed from the CC by the owner of the card? Does the account info still appear on the AU's CR after being removed from the account?


Sometimes yes, sometimes no.   It depends on the Creditor's procedures.   In either case if the Ex-AU wanted it removed they could dispute it with the CRA....

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Frequent Contributor
Posts: 289
Registered: ‎11-23-2011
0

Re: Authorized Users and Credit Scoring?


poops wrote:

What happens if the AU is removed from the CC by the owner of the card? Does the account info still appear on the AU's CR after being removed from the account?


This actually happened to me. When my uncle removed me as an AU to his AMEX it was removed from EX, but EQ and TU, which is why my EX score is lower than my two other scores. I wasn't really sure what the "right" procedure was for this, so I called AMEX and asked why it was no longer reporting on EX, but was still on TU and EQ. They said, "Oh, I'm so sorry sir, we will remove it from TU and EQ by next week." My heart skipped a beat and I yelled NO!!! I want it to report!! I  just wanted it to also report on EX. She said "No, we cann't do that, but I will keep it on you TU and EQ. I just want you to keep in mind that this is being incorrectly reported". 

 

Thank god my uncle was willing to put me back on.



Scores: EX: 793 EQ: 804 TU: 801
Epic Contributor
Posts: 21,296
Registered: ‎03-19-2007
0

Re: Authorized Users and Credit Scoring?

Grant or termination of AU status is not mentioned or controlled under the FCRA.  It is at the discretionon  of the creditor.  So is the practice of including the credit history of another in a consumer's scoring.

The FRCA does not control reporting to a consumer's credit file when the consumer is not a creditor.  Some creditor are now restricting grant of AU status only to immediate family members, and others have discontinued the practice completely.

 

If AU status is terminated in some manner that violates other federal laws, such as being based on age, race, etc. discrimination, recourse would be through that statute, not the FCRA.

The fact that FICO chooses (or is forced to) score AU reporting is a private business matter.  The FCRA does not regulate the innards of credit scoring.

 

 

New Visitor
Posts: 1
Registered: ‎01-23-2012
0

Re: Authorized Users and Credit Scoring?

What is the best credit card to be an authorized user on?  By that question I mean, fastest at reporting.  Also, my mom added me to her Sears Mastercard, but they didn't ask for a SSN or anything other than my name.  I am assuming that it will not be added to my credit report.  Is that accurate?

Super Contributor
Posts: 9,674
Registered: ‎01-28-2010
0

Re: Authorized Users and Credit Scoring?

 

I honestly don't know which cards would report fastest....but they can add it to your CR without getting your SSN directly.   They can do it with name & address I think....

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Valued Contributor
Posts: 1,704
Registered: ‎01-05-2010
0

Re: Authorized Users and Credit Scoring?


rpineda wrote:

What is the best credit card to be an authorized user on?  By that question I mean, fastest at reporting.


 

All my cards (Visa, MC, Amex, Discover) thankfully report fast at this time. EX picks them up in 1-2 days after the statement date (the end of the billing cycle), EQ 3-4 and TU 4-5.

It wasn't always so, as Amex would take close to a month, but not anymore. I can generally predict quite accurately when myFICO's Score Watch will send me an alert with an updated score.

Never underestimate the power of denial
Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
† Credit cards for FICO Score ranges: The score ranges are guidelines based on actual applicant approvals and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.