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iJoel
Posts: 6
Registered: ‎09-04-2010
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I'm an authorized user on someone else's credit card. Does that effect my score

According to my credit score on here, most of my 'negative' usage comes from that card. And I'm pretty sure that even if I get my name off of the card, it would remain on my report for a number of years, right? So would my only option be to get the primary user of the card to stop using it? 

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jdxprs1
Posts: 152
Registered: ‎08-20-2010
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

go to all three credit bureaus and dispute the account as "not my account". they will delete it from your file.


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iJoel
Posts: 6
Registered: ‎09-04-2010
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

Thank you very much, I had no idea that would work. But as just an authorized user, does it effect my score as if it was my own? I mean, it seems that way, but I don't really know for sure.

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Epic Contributor
haulingthescoreup
Posts: 28,098
Registered: ‎04-01-2007
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

 


iJoel wrote:

Thank you very much, I had no idea that would work. But as just an authorized user, does it effect my score as if it was my own? I mean, it seems that way, but I don't really know for sure.


 

If the AU card appears on your reports, it's being scored. Some AU accounts don't show up on the AU's reports, so they don't matter.

 

Closed cards continue to report. But disputing an AU card as "not mine" will get it off.

* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
New Member
iJoel
Posts: 6
Registered: ‎09-04-2010
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

I've been trying to figure that out for awhile now, no one could ever answer me. Thank you.

 

Now, on to my next question.

 

I'm fairly new to the credit world (got my first credit card 2.5 years ago when I was 19).

I have two credit cards. One with an $800 limit, and one with an $1400 limit.

The one I'm authorized on has a $5500 limit. And I usually spend $500-$600 of my combined $2200 limit.

 

So I now have the option to remove my name from the $5500 limit card because that individual puts $1500-$2500 on their card

every month. Or I have the option to ask them to use a different card (and they would) instead of the one I'm authorized so that

my credit score would go back up. They aren't irresponsibly using the card or anything. The only thing that is knocking my score

is their high utilization of it. 

 

MAIN QUESTION:

So which would be the better option, obliterating that card from my report so that my credit limit goes down along with my credit utilization

(as well as my average years would go up since the card I'm authorized on was gotten this year). Or just having them stop using the card

so that my card utilization would go back down, but my credit limit would still be quite high ($7700, as opposed to $2200).

 

Thanks for all your help. ^_^

Valued Contributor
IOBA
Posts: 2,697
Registered: ‎08-13-2009
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

In my opinion, asking them to use a different card would best help your FICO score.

 

How old is the card they are using?  Does it significantly increase your AAofA?

Valued Contributor
my-own-fico
Posts: 1,307
Registered: ‎01-05-2010
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

My take on it is that AU works far better within the same household budget. My wife and I share a couple of cards by way of AU, which for all practical purposes works like joint cards, since payments come from our checking account. Don't mix friends and money, except in marriage!

Are your two cards and the other card all used for FICO util?

I don't think it has been mentioned in this thread, but the other card's owner(s) can simply take you off as AU.

Are you living within your means?
New Member
iJoel
Posts: 6
Registered: ‎09-04-2010
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

My first card is 2.5 years old ($1400 limit). Then my 2nd card (the AU card) is 6 months old ($5500). And my third card is ~4 months old ($800 limit). 

I'm an AU on my mother's account. And she could take me off, but I would still need to dispute it on the credit reports cause I've seen before that it doesn't knock them off if your simply taken off as an AU. 

 

And yes, all cards are used for FICO utilization. And disputing the AU card on my report(s) would then make my average age go up. But it would also then make my credit limit go down. My mother has more cards, and she doesn't care which one she uses. So it all depends on what's my important to my FICO score. Average age of accounts, or credit limit (which takes into account the percentage of the utilization). 

 

Since I use ~$600 a month on the card (which in the coming months, could go up to $1225), then I think having the $5500 limit as well would really help my score (since she won't be using it anymore once I ask). 

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haulingthescoreup
Posts: 28,098
Registered: ‎04-01-2007
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Re: I'm an authorized user on someone else's credit card. Does that effect my score

Does she have an older card, one which normally doesn't report balances?

 

Here's what makes a CC a good possible AU card:

 

  • it's older than your AAoA (average age of accounts)
  • it is absolutely squeaky clean, with maybe the possible exception of one 30-day late 5 years ago; something like that
  • It has a big enough CL to help your revolving util (this doesn't matter if you don't let big balances report)
  • It usually reports $0, and when it does report, it's 9% or less (preferably less) of that card's CL
  • It actually does report to the credit bureaus --not all AU cards do!

Remember that it's the reported balance, not what's left after the payment is made, that affects util. This is something that well-meaning family members who want to help out get offended by. (Wow, what awful sentence structure...) You'll hear, "Whaddya mean, the balance is too high? I pay that thing off every month." And so forth.

* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
New Member
iJoel
Posts: 6
Registered: ‎09-04-2010
0

Re: I'm an authorized user on someone else's credit card. Does that effect my score

This specific card card does report balances. 

 

-It's younger than my average age of accounts.

-It is squeaky clean.

-It has a very large credit limit to help my revolving util.

-When she starts using her other card instead of this one, it'll post ~1% every month.

-It does report to the Credit Bureaus.

 

And yeah, I'm guessing the reported balance is just pulled randomly each month. So if I can get her to use another card, I can only imagine it would help my credit, seeing as it has such a high credit limit.


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