Re: Added as an Authorized User, Now What?

Anonymous · ‎06-22-2020

So I have been added as an authorized user to help my credit a bit. I have never had a revolving line of credit, only installment loans. After being added as an AU, my credit score has gone up on Experian by 7 points on Equifax, 17 on TransUnion, and 0 on Experian. Seems like it helped a little bit...

But after being added, I realized that the LOC has an 84% utilization rate currently. The original cardholder is planning to refinance and bring that rate down to where it needs to be, I think their credit score is around 780.

Should I stay an authorized user for now, or have myself removed?

FlaDude · ‎06-22-2020

Assuming the account holder is going to get and keep the card at a low utilization (preferably under 10%), I'd keep the AU.

Scores: March 21 FICO 8: EX 810, TU 808, EQ 813
AoOA: closed: 40 years, open: 30 years; AAoA: 14 years
Amex Gold, Amex Blue, Amex ED, Amex Delta Blue, Amex Hilton Surpass, BoA Platinum Plus, Chase Freedom Unlimited, Chase Amazon, Chase CSP, Chase United Explorer, Citi AA, Sync Lowes, total CL 203k

SouthJamaica · ‎06-22-2020

@Anonymous wrote:
So I have been added as an authorized user to help my credit a bit. I have never had a revolving line of credit, only installment loans. After being added as an AU, my credit score has gone up on Experian by 7 points on Equifax, 17 on TransUnion, and 0 on Experian. Seems like it helped a little bit...

But after being added, I realized that the LOC has an 84% utilization rate currently. The original cardholder is planning to refinance and bring that rate down to where it needs to be, I think their credit score is around 780.

Should I stay an authorized user for now, or have myself removed?

It will help your scores more if the cardholder does indeed pay it down. If the cardholder pays it down, hold on to it until you can get a revolver of your own. If cardholder doesn't pay it down, get yourself a card of your own, and then get yourself removed.