AU question

[Anonymous]

So I had a friend add me as an AU. Prior I only had 1 cc that was 2 years old. His card was opened 5 years ago. It helped me out and now I have been able to get my own cards with decent limits. 

my question is if I now have it removed from my Cr's will it hurt my scores by a lot?  

[AllZero]

It depends. Did you notice a score improvement when you were added as an AU?

I don't think you will see a dramatic point loss if you were to remove the AU.

What is your AAoA with and without the AU?

What is your current AoOA without AU?

ETA, not knowing your credit card portfolio, if you have at least 3 cards of your own, then it's enough to strengthen your own scores without AU. That's considering if you were optimizing your utilization.

[Anonymous]

When I was added I hate my 90 day late so honestly I only went up like 12-13 points. Then after I successfully got the late removed my scores jumped up about 150-180 points or take. 

not sure if I didn't get a big jump because I had the derog. 

This is my current without AU. 

oldest account 2 years 8 months. 

average 1 year 1 months. 

with AU

average 1.6 years 

oldest. 5.4 

and right now I have 8 accounts of my own and at 1% utilization. I PIF normally. But when I got my disco card I made a purchase and right after it reported. I didn't know it was going to report that fast. Right now it's at a $0 balance so will be 0%. 

If I just lose say 15 points I'm fine with that. I just didn't know if I would drop say 50 points or more. 

[Anonymous]

Forgot to add also utilization will change just not sure to what. 

made a $2500 purchase on a card with a $30k cl. That will be the only one with a balance that I will be making payments on and not PIF since its 0% for 12 months 

[AllZero]

I don't recall exactly but I think there is a 2 year threshold for AAoA and 7, 7.5 AoOA threshold.

With AAoA similar, I don't think there is a score impact.

I'll have to dig and search the details for AoOA.

I think its safe to say you won't drop 50 points.

[AllZero]

Found a post by Thomas_Thumb:

AoOA is not a Fico scoring factor. It is a scorecard assignment segmenter. If an increase moves you to a different scorecard your score may change is due to a shift in weighting of the factors used in scoring and the assigned min/max scores associated with the scorecard.

It is hard to confirm where Fico draws the line on age of file (AoOA) for segmentation but, it is likely higher than 5 years - perhaps 10 years.

https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Seeking-AoOA-Threshold-Data-Points-Anecd...

[Anonymous]

Thank you very much. Was hoping this was the case. 

[Anonymous]

You realize being a segmentation factor means it has more effect than if it were a scoring factor? If one is re-bucketed, the effect can be larger than with a scoring factor.

Yes, you failed to see the jump due to the dirty file. Once you're segmented into a dirty file, there is no segmentation based on AoOA.

When you became clean and saw that huge jump? Guess what that came from? Re-bucketing, scorecard change; change of a segmentation factor, in other words, NOT change of a scoring factor.

When you are segmented clean, then you are segmented into thick/thin, aged/nonaged, new accounts/no new accounts.

So, segmentation affects score dramatically, as you've seen. You have a thick file, which is preferable, as its more stable.

Are you aged/nonaged? No one knows the demarcation point exactly. Has been theorized as low as 6 years and some think as high as 15-17 years. Its your AoOA that determines this. Personally, I think its at the lower end, but we don't know for sure. Some data points point to 6 years. Who knows? Either way, you can have a great score as nonaged, as long as you are clean with low utilization.

Last is whether you have any new revolvers under 12 months of age, at least for Version 8. (Who knows the threshold(s) for the older models.) That's why you gain points when your youngest revolver turns 12 months old, you're being re-bucketed due to a change in scorecard segmenters.

Hope this provides some elucidation.

[Anonymous]

In other words, it probably wont affect you by AoOA much becuz you wont cross a threshold. However, if you leave it, you can get to that line more quickly.

[Anonymous]

Thank you @birdman7 

I contacted them today to have it removed. 

I will update with what happens to scores after it updates in case anyone has this question in the future