topic Re: Removing AU impact? in General Credit Topics

Removing AU impact?

rprisco — Fri, 22 Jun 2018 10:05:35 GMT

I added a friend to my cabalas Visa (10k line just got cli to 20k) to help build his credit. The card has helped. He did secured disco and graduated (300 secured line to 2000 upon graduation), also approved for sync store card and cold apped Amex gave 10k line and on day 62 he asked for 20k cli and got it. His credit is about 10 mo this old (he has 10+ yrs of good child support payments reporting), he went from no score to mid 700's.

Now back to cabalas Visa. If I remove him now, how will that report to his cb's? Does the account disappear or will it somehow show as a closed AU?

I never carry a balance on this card, but after my roof blew off last week (big wind upstate NY) I plan on using the card to carry a small balance for a few months and don't want that to effect him.

Any feedback will be appreciated.

BTW, yes Virginia adding someone as AU does help.

Re: Removing AU impact?

fltireguy — Fri, 22 Jun 2018 11:38:22 GMT

If you remove the authorized user, it'll probably just vanish and go away on his report as well like it was never there to start with

Re: Removing AU impact?

HeavenOhio — Fri, 22 Jun 2018 11:53:04 GMT

I'd love to see some datapoints as far as what happens to reports when AUs are removed. Do they stick around as closed accounts, do they disappear entirely, or is either a possibility?

In this case, depending on opening date reported on the AU account, it'd likely be beneficial for it to stick around as a closed account on the OP's friend's report. But in another recent topic, having AUs disappear entirely would enable the member to get himself under 5/24.

Re: Removing AU impact?

K-in-Boston — Fri, 22 Jun 2018 13:21:02 GMT

When an AU is removed, the account usually just disappears completely from their credit reports. Sometimes they continue to report as if they were still on the account, and the AU would need to decide whether to leave it as is or pursue having them removed from their credit reports. I have never seen any DPs of an account being listed as closed because an AU was removed if the account itself wasn't closed.

Re: Removing AU impact?

Anonymous — Fri, 22 Jun 2018 16:25:07 GMT

I read somewhere on this board recently where an AU was taken off of an Amex account and it showed up as a closed account on their report. I'd love some more data points regarding AU removals as well!

Re: Removing AU impact?

Anonymous — Sun, 24 Jun 2018 18:44:34 GMT

Hi,

I recently had my husband remove me as an AU on his Disco card because of the age of account/ plus his UT ( Double cash back offer/ higher usage on his part)

Here is what happened to my reports: Account stayed on my reports/ moved to closed account (AU) on all 3 bureaus. My scores improved a good deal 19-22 points each bureaus.
Can't confirm this happens with every lender/account but that is what happened for me. Hope this helps.

Re: Removing AU impact?

rprisco — Sun, 24 Jun 2018 19:00:02 GMT

Thank you everyone for your responses, I'll let everyone know how it works out.

Re: Removing AU impact?

Anonymous — Sun, 24 Jun 2018 19:43:09 GMT

@rprisco wrote:
I added a friend to my cabalas Visa (10k line just got cli to 20k) to help build his credit. The card has helped. He did secured disco and graduated (300 secured line to 2000 upon graduation), also approved for sync store card and cold apped Amex gave 10k line and on day 62 he asked for 20k cli and got it. His credit is about 10 mo this old (he has 10+ yrs of good child support payments reporting), he went from no score to mid 700's.

Now back to cabalas Visa. If I remove him now, how will that report to his cb's? Does the account disappear or will it somehow show as a closed AU?

I never carry a balance on this card, but after my roof blew off last week (big wind upstate NY) I plan on using the card to carry a small balance for a few months and don't want that to effect him.

Any feedback will be appreciated.

BTW, yes Virginia adding someone as AU does help.

I am curious to hear more about your friend's profile. You mention that his profile is 10 months old but also say that he has an account (on each bureau?) showing 10+ years of child support (CS) payments. If that CS account really is there, his profile is 10+ years old (not ten months) -- and I am surprised that your AU card is helping him, since the typical way AU cards help is by creating a much older profile age than the person actually has. How exactly does the CS account appear? How old is your credit card -- the one that he is the AU on?

You mention that you will be carrying a small balance soon and you don't want to hurt your friend's score. If the balance is truly small, it probably won't hurt his score at all -- or less than removing the AU card might.

Re: Removing AU impact?

Anonymous — Wed, 05 Sep 2018 01:40:48 GMT

In my experience of closing AU accounts, they are listed as a closed account and in some cases, they continue to report good payment history.

Re: Removing AU impact?

Anonymous — Thu, 25 Oct 2018 02:10:34 GMT

Yes it is true if you remove a AU your score will go up... I did it twice and got a 30- 47 point increase

Re: Removing AU impact?

Queen_Etherea — Thu, 25 Oct 2018 16:18:11 GMT

@HeavenOhio wrote:
I'd love to see some datapoints as far as what happens to reports when AUs are removed. Do they stick around as closed accounts, do they disappear entirely, or is either a possibility?

In this case, depending on opening date reported on the AU account, it'd likely be beneficial for it to stick around as a closed account on the OP's friend's report. But in another recent topic, having AUs disappear entirely would enable the member to get himself under 5/24.

I was an AU on my dad's card and had him remove me because his utilization was killing me. The account just stopped updating, but stuck around. It didn't show as closed. I had to file a dispute with all 3 CRA's to get the TL removed. No late payments or anything, just UTI was really high.

Re: Removing AU impact?

FlaDude — Thu, 25 Oct 2018 18:42:39 GMT

wrote:
Yes it is true if you remove a AU your score will go up... I did it twice and got a 30- 47 point increase

It depends on how the accounts affect your total utilization and history. If your utilization and history on your own are better than the account you are an AU on, then yes, removing that will increase your score. OTOH, if you have high utilization and get added as an AU to an account that improves your utilization percentage, then the AU will increase your score.

I removed my daughter from a card with high utilization and added her to a card with a high CL and almost no balance and her score jumped 30-50 points.