topic Re: Authorized User Question in General Credit Topics

Authorized User Question

notoriousrod — Sat, 17 Jan 2009 09:17:15 GMT

Hi Guys ....

My wife has a great credit history of paying bills on time and her score is significantly higher than mine.

My score is 590 and hers is close if not in the 700s

Will adding me as an Authorized User on her accounts improve my Credit Score or will it make it worse?

Thanks

Rod

Re: Authorized User Question

llecs — Sat, 17 Jan 2009 15:12:53 GMT

Depends on a number of factors:

Being added as an AU can make your utilization go up or down. If that card you are being added as an AU on has a high utilization in relation to yours, then you could see your score drop. If the balance is in check and if it helps your utilization, then you could see your score improve. You'd have to do some math on that.
Being added as an AU can improve your mix of credit. If you lack revolving or charge credit, depending on this card's type, then you could see a significant score increase. And if you have 0 CCs now, then adding it will improve your scores a great deal. Conversely, if it won't improve your mix of credit, it won't harm your scores (assuming the card isn't new).
Being added as an AU can impact your AAoA. If this CC is older than your AAoA, then your scores will rise. If not, then it could drop.
Being added as an AU can impact your scores if there are any negative derogs on it.

Of course, your score will factor all of these in as a collective, so YMMV.

Re: Authorized User Question

notoriousrod — Sat, 17 Jan 2009 17:35:52 GMT

Will adding me as an AU in any way hurt her score?

Re: Authorized User Question

Junejer — Sat, 17 Jan 2009 18:14:37 GMT

notoriousrod wrote:

Will adding me as an AU in any way hurt her score?

No

Edit: I should add that this is the preferred method of obtaining access to credit among spouses. Don't do joint accounts always do AU on one another's cards. If something ever goes wrong with one spouse, you still have the other person's cards to fall back on. Mortgages are the exception to this recommendation.

Message Edited by ByrdMan on 01-17-2009 12:14 PM