topic Re: Amex messed up my daughter’s rating (my fault???) in General Credit Topics

Amex messed up my daughter’s rating (my fault???)

Anonymous — Wed, 11 Jun 2025 17:08:21 GMT

Hello all,

If I'm in the wrong place, please point me in the right direction.

In June of 2023 I wanted to share an additional AMEX card with my daughter (like a spouses card, 100% my credit but her card to use). However, after the application was approved, I found they wanted to report credit to my daughter's score (in other words give her a card). That's not what I wanted so I called AMEX and canceled. The Amex rep said that if anything shows in the mail, just don't activate it and the account will cancel in 60 days. But I pushed for an immediate cancellation. My daughter never received a statement nor did I ever see anything on my statements online.

However, I was logged into my Amex account in May 2025 and I see two (2) accounts, one for me and one for my daughter???? No previous statements (paper or electronic) for this second account in my daughters name???

I called Amex and opened a case # to get answers...they asked me if I wanted to cancel the 2nd account in my daughters name, and not being sure what to do...I said yes.
They never got back to me after a month with answers to where this account came from (they promised a response in 2 weeks). When I called they just said the case is closed and the account is closed, and no further information will be shared. I looked at my daughters FICO score for the past 5 months, only 1 account was reported on the first 4 months (known Discover card), then in May there is suddenly 2 accounts (unknown Amex card???), and in 4 months she went from Exceptional to Good (FICO). (I think it is because she did not know about the Amex credit and applied for another "travel" card, hence overextending; she was rejected which made me start to investigate). Called AMex and they tried to blow me off again, and finally they patched me through their Credit Dept. The rep from Credit says she can't explain what happened to the FICO and the added account. She was defensive, but admitted the account should have never have been reporting and should never have been created. She had no answer about not being able to produce a statement for this unknown account, but did say it has been reporting the account to credit agencies. Soooooo...

She gave me an option to submit a request to the credit agencies to completely remove the account like it hasn't unknowingly existed for 2 years, or I can just leave the account closed (zero balance). This was $31k of credit extended to my daughter who was a new grad 2 years ago. What should I do to help my daughters FICO score? Have the account history erased with the credit agencies, or just leave it cancelled after 2 years, or reopen the account with $30k, her other card she pays off every month has a limit of $6k. Please help, I feel terrible after she worked hard to build her credit since a teenager, and I just wanted to get her an emergency card, and AMEX screws her up. I wish I never tried to get her a shared card. Thanks in advance!

Re: Amex messed up my daughter’s rating (my fault???)

pizzadude — Wed, 11 Jun 2025 17:41:22 GMT

First I'm not exactly following how you think this "messed up" your daughter's credit

When you requested AMEX to add her as an additional card member you are essentially giving her access to your credit card's full credit limit, and AMEX will report this account on your daughter's credit reports. She is not liable for any of the charges, you are liable as the card holder. This is the exact reason why many people add addtional card members, to help other family members grow and build their own credit history.

Re: Amex messed up my daughter’s rating (my fault???)

FlaDude — Wed, 11 Jun 2025 18:22:48 GMT

As @pizzadude mentioned, giving someone a card on your account adds them as an "authorized user", and can benefit their credit report by adding age and available credit. This is espescially helpful for people who don't have any or many accounts of their own. Many people add authorized users for just this purpose and don't even give them the card to use. Also note that Amex allows you to limit how much an authorized user can charge, they don't have to have access to your full credit limit.

Re: Amex messed up my daughter’s rating (my fault???)

Varsity_Lu — Wed, 11 Jun 2025 19:40:28 GMT

@Anonymous

On her credit reports, it should indicate if the account is hers or if she is an authorized user. Also, she can look to see if an inquiry was pulled from AmEx. Honestly, it sounds like you added her as an AU onto your card and she never actually got removed. There really isn't any way for you to see her name on your account otherwise. The $31k of credit is yours, right? Her having an AU account on her report is not a big deal, in fact it's probably helping her score somewhat. If she wants it gone, she can just dispute the account and get it taken off her reports. As for why she was rejected for a recent card, I'll bet it doesn't have anything to do with the AmEx account, but you'd have to dig in more to the denial letter to see why. My guess is she didn't qualify for the card she apped for and her score drop is due to a recent inquiry from the app.

Re: Amex messed up my daughter’s rating (my fault???)

FicoMike0 — Wed, 11 Jun 2025 19:58:54 GMT

I found the post confusing. If you logged onto amex and found two accounts, they're both yours. If they allowed you to cancel one, it's yours.

Ditto what the others said about au.

Re: Amex messed up my daughter’s rating (my fault???)

JoeRockhead — Wed, 11 Jun 2025 21:16:39 GMT

Even if the account wasn't flagged by the anti-abuse algorithm, for "piggy-backing", and applied the positive attributes of the account to her scores. The account was first opened only two years ago, then closed shortly thereafter. There's no reason to either leave it, or have it removed from her report as it's not benefiting, nor hurting her. In other words either choice would be fine.

Fico 8 and newer versions ignore many aspects of AU accounts. It's always best for people trying to build credit to do so by attaining and growing their own accounts and positive payment history.

I'd recommend she tries to add 2 more revolving bank cards (not store only cards, or charge cards like Amex Green, Gold, or Platinum) from places like Amex (revolvers only), Capital One, Discover etc... and if she wants to optimize her scores from there, look into the practice of AZE1 (also referred to here as AZEO)

AZE1 (All Zero Except One)
She would pay any balances in full before the statements generate on two of the cards.
On the remaining card she'd want to pay the balance down as well (if it's over 9%), but allow only a small balance (no more than 8.9% of the limit) to report.
She'll want to avoid allowing more than 50% of her accounts report a balance being there's a score penalty for "too many accounts with balances"... no matter how low the balances might be.
She'll also want to avoid all her cards reporting zero balances, there's an "all zero" score penalty for that as well.

If she only has two cards, it will be better to have one report with a small balance (below 9% as above) than it would to have both as zero, or both with a balance.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:15:39 GMT

Did you read everything or the just the first paragraph?

what you are describing is what I wanted...a card that is my name that she can use but I am 100% responsible. I called and they said that they gave her her own card with an added account number, that is why I cancelled immediately in 2023.

Besides, if I cancelled the card and the new account immediately and never activated any cards, why would they continue to report against her credit.

Also, isn't it strange that I saw no statements until last month after they reported on her credit for 2 years??

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:16:53 GMT

What I described above is NOT how they are handling additional cards now.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:20:47 GMT

Thanks! Again that does not address why Amex keep the card open unknowingly to me and my daughter after I cancelled immediately. Anywho, what is your advice, have it completely wiped as if it never existed, or just keep the card or AU or whatever cancelled?

thanks!

Re: Amex messed up my daughter’s rating (my fault???)

Remedios — Thu, 12 Jun 2025 01:22:31 GMT

@Anonymous wrote:
Hello all,
If I'm in the wrong place, please point me in the right direction.
In June of 2023 I wanted to share an additional AMEX card with my daughter (like a spouses card, 100% my credit but her card to use). However, after the application was approved, I found they wanted to report credit to my daughter's score (in other words give her a card). That's not what I wanted so I called AMEX and canceled. The Amex rep said that if anything shows in the mail, just don't activate it and the account will cancel in 60 days. But I pushed for an immediate cancellation. My daughter never received a statement nor did I ever see anything on my statements online.
However, I was logged into my Amex account in May 2025 and I see two (2) accounts, one for me and one for my daughter???? No previous statements (paper or electronic) for this second account in my daughters name???
I called Amex and opened a case # to get answers...they asked me if I wanted to cancel the 2nd account in my daughters name, and not being sure what to do...I said yes.
They never got back to me after a month with answers to where this account came from (they promised a response in 2 weeks). When I called they just said the case is closed and the account is closed, and no further information will be shared. I looked at my daughters FICO score for the past 5 months, only 1 account was reported on the first 4 months (known Discover card), then in May there is suddenly 2 accounts (unknown Amex card???), and in 4 months she went from Exceptional to Good (FICO). (I think it is because she did not know about the Amex credit and applied for another "travel" card, hence overextending; she was rejected which made me start to investigate). Called AMex and they tried to blow me off again, and finally they patched me through their Credit Dept. The rep from Credit says she can't explain what happened to the FICO and the added account. She was defensive, but admitted the account should have never have been reporting and should never have been created. She had no answer about not being able to produce a statement for this unknown account, but did say it has been reporting the account to credit agencies. Soooooo...
She gave me an option to submit a request to the credit agencies to completely remove the account like it hasn't unknowingly existed for 2 years, or I can just leave the account closed (zero balance). This was $31k of credit extended to my daughter who was a new grad 2 years ago. What should I do to help my daughters FICO score? Have the account history erased with the credit agencies, or just leave it cancelled after 2 years, or reopen the account with $30k, her other card she pays off every month has a limit of $6k. Please help, I feel terrible after she worked hard to build her credit since a teenager, and I just wanted to get her an emergency card, and AMEX screws her up. I wish I never tried to get her a shared card. Thanks in advance!

It would be in her best interest to manage her own credit. A lot of what you said above is just not how credit works so it's better for her to let her make her own decisions, she's not a baby, teen, or a minor any longer.

Also, all she needs to know about credit is to pay on time and not get herself in debt.

At some point parents need to understand that there is helping and then there is meddling. She's an adult so ...

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:24:32 GMT

Oh, and I did see her her name on my Amex account online for the first time (since the 2023 application)...that's what really started the investigation into this whole mess (or non-mess as I'm being told.

still looking for advice on next steps...wipe or live with cancelled account for 7 years?

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:27:13 GMT

I only saw the other account for the first time after I logged in last month (May 2025). I applied initially and cancelled immediately in 2023. Nothing sounds off to you with that happening???

Re: Amex messed up my daughter’s rating (my fault???)

JoeRockhead — Thu, 12 Jun 2025 01:31:37 GMT

As in my other post, the account wasn't active long enough to benefit, or harm her in any way. At this point it's a personal choice as to remove it or not

Positive accounts can stay for up to 10 years before it falls off on its own.

Re: Amex messed up my daughter’s rating (my fault???)

JoeRockhead — Thu, 12 Jun 2025 01:30:47 GMT

Once an account is approved it will be reported regardless of when you canceled it.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:32:49 GMT

Thank you! My problem is that I thought she only had one account until last month when it showed up after I logged on to Amex.

so assuming she just has her Discover with a 6k limit, which she pays in full every month, she should keep a small balance and pay the monthly interest?

I need to start using your advice for myself, I thought zero balance card were helping.

thanks!

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:38:01 GMT

Sorry I'm really kicking this horse now...

But your statement "The account was first opened only two years ago, then closed shortly thereafter."

when they said she was approved in 2023 and I didn't think this was like an AU card, I immediately cancelled over the phone and never activated any cards. I just found out Amex never cancelled the card for my daughter, but there was no proof it was open (statements, account shown when I log in) UNTIL last month (May 2025). That's my problem.

i appreciate your advice. Amex was unable to provide any advice on what I should do.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:48:04 GMT

Your absolutely correct. She has been on her own since a freshman in college. I only have worked with her on building credit on her own, her first checking and savings, how to save, etc.

However, as I posted, (people don't read the detail in long posts I guess) I thought this whole Amex debacle and her recent credit issue was my fault since I was trying to get her a AU card, in addition to her soley managed Discover) that would have the perks of my Amex (concerts, hotels, check in).

when she got rejected for another card, and then I saw this unknown Amex card that I thought was cancelled in 2023 (never really opened), I felt like I owe her an explanation and a best path forward as a father (hence these requests/posts for advice).

so I'm not silver spooning her, but thanks for checking me.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Thu, 12 Jun 2025 01:49:16 GMT

Good to know, thanks!

Re: Amex messed up my daughter’s rating (my fault???)

JoeRockhead — Thu, 12 Jun 2025 01:57:12 GMT

@Anonymous wrote:
Thank you! My problem is that I thought she only had one account until last month when it showed up after I logged on to Amex.

so assuming she just has her Discover with a 6k limit, which she pays in full every month, she should keep a small balance and pay the monthly interest?

I need to start using your advice for myself, I thought zero balance card were helping.

thanks!

No... to optimize scores you'd only let a small balance post. Once your statement comes out you then pay the remaining statement balance by your due date to avoid paying any interest.

Re: Amex messed up my daughter’s rating (my fault???)

Anonymous — Sat, 14 Jun 2025 15:15:07 GMT

Remedios, learn to read the whole post before you comment.

i was asking because i thought i created a problem for my daughter unbeknownst to her so i was seeking out advice.

post closed!