Understanding FICO® Scoring

[eXp]

Hi,

I'v been an authorized user on my moms gas card accounts for a year now, and although these cards helped me get my own credit cards, I would like to remove myself as an authorized user, as she only pays the minimums each month and I feel like its hurting my scores (due to high usage and only the minimum being paid).

I have 3 cards of my own now. Chase Visa, Wells Fargo Visa, and Walmart credit card and I keep low balances on them all.

The cards that Im an authorized user on have a year of history on them, the same as my Wells Fargo. Chase and Walmart are about 4 months.

So, if I remove myself as an authorized user from my moms cards, would this help increase my credit scores? 

My scores:
Trans: 701
Equifax: 658
Experian: 691

I would like to purchase a fairly expensive car in the near future and I would like to be considered a low risk when I do this.

I know my credit history isnt long and I should open a few more lines of credit, which is why i want to revmove myself from my moms cards.

I should also mention, that I intend to payoff all her debts when I remove myself from her cards to help her out.

Thanks for your help.

[Tuscani]

Welcome.. Please read the Scoring 101 thread:

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=2654

[eXp]

Thanks for the reply and the link.

I apologize for not completely understanding what I've just read, I would like to request your advice on my situation.

The thing that confuses me, is where it says "AU's are the best way to go", then it goes onto say that I should "drop relationship with these accounts".

Does this basically say to release myself as an AU after good credit is established? Another question I have is, if I "drop relationship with these accounts" will it decrease my FICO score or will all the history from these accounts remain on my credit report?

Again, thanks for your time and help.

[Tuscani]

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eXp wrote:

Thanks for the reply and the link.

I apologize for not completely understanding what I've just read, I would like to request your advice on my situation.

The thing that confuses me, is where it says "AU's are the best way to go", then it goes onto say that I should "drop relationship with these accounts".

Does this basically say to release myself as an AU after good credit is established? Another question I have is, if I "drop relationship with these accounts" will it decrease my FICO score or will all the history from these accounts remain on my credit report?

Again, thanks for your time and help.

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AUs WERE the best way to go. In a few months being an AU won't matter. Nonetheless, I would still drop yourself from any account you are an AU on. And yes, until the new rules are rolled out, your score will fluctuate by adding or removing an AU account from your reports.