Can an AU take down your account?

[W261w261]

My son was an AU on my Sears account. CL 5000, I was never close to that since the card was issued in 2008, and was never late.  Bought refrigerator, washer/dryer, stove, $1,000 mattresses, plus assorted hardware items. About a year and a half ago, with balance at around $1600, they dropped my CL to 1600 or a little more.  They then balance-chased me down to about $900, and then last spring notified me that the card would not be renewed. Around this time, my son's life trashed his credit, and he did buy a $1,000 set of tires on my account. Citi is the creditor.

Do you think my son's bad credit impacted my Sears account?  Or is it just Citibank trying to reduce exposure on a pos retailer like Sears?

My CR shows nothing of importance on Sears ("closed, current").  

[Anonymous]

It sounds like he was carrying a balance and that affected your standing with Citi. 

[FinStar]

It would appear Citi Retail (Sears) took adverse action to CLD based on either internal data and external risk factors to reduce the overall expose.  Citi Retail isn't the only lender that does this.  You'd have to determine what your overall profile was at that moment (and what may have been introduced factors-wise) for a lender to CLD or balance chase.  

So, while the AU may have been on your account the entire time and there may have been inherent factors with his credit profile, the lender (Citi Retal) is basing their decision on your profile as the primary accountholder.  So even though he used your account, the primary individual is who they base these decisions on.

[Remedios]

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@W261w261 wrote:

My son was an AU on my Sears account. CL 5000, I was never close to that since the card was issued in 2008, and was never late.  Bought refrigerator, washer/dryer, stove, $1,000 mattresses, plus assorted hardware items. About a year and a half ago, with balance at around $1600, they dropped my CL to 1600 or a little more.  They then balance-chased me down to about $900, and then last spring notified me that the card would not be renewed. Around this time, my son's life trashed his credit, and he did buy a $1,000 set of tires on my account. Citi is the creditor.

Do you think my son's bad credit impacted my Sears account?  Or is it just Citibank trying to reduce exposure on a pos retailer like Sears?

My CR shows nothing of importance on Sears ("closed, current").  

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It had nothing to do with AU, it had everything to do with large unpaid CO, closed account with balance that had multiple 90 days late, and scores in low 600s.

Also, please do not call anyone *pos*. Sears didn't create the predicament you found yourself in. 

[Anonymous]

That would definitely do it.

[K-in-Boston]

To be perfectly clear, the ECOA requires that a lender disclose why an account was closed or adverse action was taken (unless it was closed for inactivity or failure to pay) and the FCRA requires that a lender disclose that a consumer credit bureau report (and which bureau) was used to inform that decision.  The reason or reasons and accompanying credit bureau information if applicable would have been provided to you at the time of balance chasing and at account closure.

Under no circumstances can factors related to persons other than the account owner(s) be taken into account, other than certain factors related to a spouse as allowed by the ECOA.

[Remedios]

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