Hey all, I'm considering adding my fiance as an authorized user to my Citi Costco Visa. He doesn't need it for any credit reasons since he already has a long and thick file with scores in the 800's, but it would be convenient since we already split the costs for most of the purchases made on the Citi card. Plus, he tends to be the one to go to Costco (without me) since it's on his way home, so we are obviously missing out on some savings there.
So my question is, what are the pros and cons we need to consider before doing so? I understand that since I'm the primary, it's my responsibility to pay everything. Are there any negatives for him? Will it affect his account age? I got this card in June, but he got a Discover card in April so it's only a two month difference. Or does it start from the date he's added?
The most apparent con for him is what the Utilization of the card might do to his overall utilization.
If he's got a long, thick, clean credit profile adding him as an authorized user will have minimal effect on his profile provided the bill is paid on time (everytime) and utilization is kept low.
Any lates the card may have had or has in the future will report on BOTH yours and his profile.
Him as an authorized user can dispute the card and have all history of it removed from his credit report... however if things go sideways (hopefully never happens) you are stuck with it for the long term.
If he's got a long, thick, clean credit profile adding him as an authorized user will have minimal effect on his profile provided the bill is paid on time (everytime) and utilization is kept low.
Any lates the card may have had or has in the future will report on BOTH yours and his profile.
Him as an authorized user can dispute the card and have all history of it removed from his credit report... however if things go sideways (hopefully never happens) you are stuck with it for the long term.
That’s great to know that purchases are itemized. Unfortunately none of his cards offer any rewards. I think he’s had his cards for 15-20 years (or more) and just keeps them for age. He got his Discover card in April because I was always talking about how much I loved mine, and now that’s his daily driver. But since he can’t use it at Costco for purchases (2%) or Costco gas (4%), he uses his debit card. I know the savings aren’t huge, but it’s better than 0%. Plus he can get 3% on dining. I want to put all the cash back we earn into our wedding fund.
I don’t carry balances or pay late, and I keep utilization low. I think it’ll help his overall utilization since it adds another $11k. He’s currently carrying a balance on his Discover, but the other 3 cards are paid off. He’s not one to actively research & apply for cards or seek credit limit increases, and a lot of what I learn I pass on to him, so his interest is passive at best.
I don’t carry balances or pay late, and I keep utilization low. I think it’ll help his overall utilization since it adds another $11k. He’s currently carrying a balance on his Discover, but the other 3 cards are paid off. He’s not one to actively research & apply for cards or seek credit limit increases, and a lot of what I learn I pass on to him, so his interest is passive at best.
That’s a good point about PCing. I think we had discussed it a while back but he mentioned that the banks don’t have any other cards he’s interested in or don’t have PC options. I know one is a Barclays, one is a Capital One card through his Union, and another is from his credit union.
I brought up becoming an AU tonight and how it works and I think he’s interested. Just wondering about one thing. When he gets his card, will he also get a Citi login account and be able to access the account and statements, or is that just me as the primary? In other words, can he also make payments or just me?
I brought up becoming an AU tonight and how it works and I think he’s interested. Just wondering about one thing. When he gets his card, will he also get a Citi login account and be able to access the account and statements, or is that just me as the primary? In other words, can he also make payments or just me?
Awesome!!! Thanks
