Chase Signature Card

Anonymous · ‎10-04-2010

Hi Folks,

My wife added me as an Authorized User to her Chase Signature card. After she added me and I checked my TU report I realized they are not reporting the CC limit but reported the balance which was ~3000. Since my credit score is not the best and my limit was low this hurt my credit score even more.

We decided to use the Chase card for small purchases only ($200 - $500) only. The question I have now is - is TU going to take the largest balance as the credit limit for the Chase card or how are they going to calculate it?

I am worried that the card will hurt my limit/spending ratio and that I might be better of canceling the card.

I would really appreciate it if someone could help me out.

Thanks!

jefftca925 · ‎10-04-2010

On Signature cards the highest reported statement balance is the one that shows as the CL on your report. It's supposedly not impact your score much but YMMV.

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smc733 · ‎10-04-2010

@jefftca925 wrote:
On Signature cards the highest reported statement balance is the one that shows as the CL on your report. It's supposedly not impact your score much but YMMV.

This only happens on TU '98 Scoring system IIRC, which almost no one uses anymore. The balance reports, but it does not factor in to utilization.

Creditaddict · ‎10-04-2010

@smc733 wrote:

@jefftca925 wrote:
On Signature cards the highest reported statement balance is the one that shows as the CL on your report. It's supposedly not impact your score much but YMMV.
This only happens on TU '98 Scoring system IIRC, which almost no one uses anymore. The balance reports, but it does not factor in to utilization.

I thought that only applies to charge cards that util is not calculated... on a signature card, the highest balance is your CL and the current balance would calc. util wouldn't?

Anonymous · ‎10-04-2010

If a Signature card is coded properly when reported, it is not included in utilization calculation. DW has a Chase Signature card - it is completely disregarded by both EQ Fico and TU'98 Fico for utilization ...

Anonymous · ‎10-04-2010

Revike - what would you advise me at this point. Should I call Chase and ask them to make sure they report it. Also, when you say "coded properly" what do you mean and how can it be coded properly.

Really appreciate your help!

Anonymous · ‎10-06-2010

I expect Chase is reporting correctly. Identifying it as a Signature-type account is internal, probably generated automatically from the account number.

Did you get your TU report through MyFico? Unless you get a report from MyFico AND the utilization percentage is specifically identified as a positive or negative "factor", you may not be able to confirm what percentage is being calculated for your Fico score. Most credit report formats display a utilization percentage that is simply calculated by adding up revolving balances and dividing by total reported CLs. However, that is not necessarily the number used when the Fico score is calculated, which causes a lot of the confusion ...

Anonymous · ‎10-07-2010

Yes, I got the TU score from MyFico and the utilization percentage was marked as a negative point.

The highest balance my wife had on that card (or the higest balance that TU reported on Myfico) was $8000. When I was added my wife hade over $3000 on the card. We have decided no to use that card for more than $300 - $500 a month. Do you believe that will help and do you think they are taking the $8000 as the CL?

I am sorry about asking so many questions I just want to make sure if I shold keep the card or if I should call Chase and have them remove my name from the card. At this point I don't feel safe calling them to remove me cause that might hurt my credit even more if they see the $8000 as the CL.

Thanks in advance for your help!