Yesterday I decided to take a look at myfico scores even though I have no need for it at this point. I have about 5 baddies in total that will go away this year. Unlike most people who rebuild I didn't go for secured or FingerHut/ OpenSky way. I asked my friend to add me to his account and he did. That was 3 & half years ago. At that point his limit wasn't where it is today but his spending was also low. In last year his limit went up and now the card is maxed out. In last 2 years I managed to get few cards on my own and have another Chase on which I am AU.
Yesterday I was looking at the myfico reports and none of them showed any impact from his credit usage. His card is at 100% usage which if I go to any FAKO credit score sites show up and say I need to reduce the debt (or remove the card from my account) but on myfico it only showed the amount I owed from my own cards. It is told to many people to remove themselves as AU if the usage is high which I could understand but with yesterday's report I have no idea anymore. Can anyone explain how and why AU account usage is not being taken into consideration for my score (not that I am complaining I wouldn't want his usage affecting my score at least for now). I would want to keep it because of payment history but the moment he defaults I am going to get it off my reports.
@bdhu2001 wrote:
@darwin_wins wrote:Yesterday I decided to take a look at myfico scores even though I have no need for it at this point. I have about 5 baddies in total that will go away this year. Unlike most people who rebuild I didn't go for secured or FingerHut/ OpenSky way. I asked my friend to add me to his account and he did. That was 3 & half years ago. At that point his limit wasn't where it is today but his spending was also low. In last year his limit went up and now the card is maxed out. In last 2 years I managed to get few cards on my own and have another Chase on which I am AU.
Yesterday I was looking at the myfico reports and none of them showed any impact from his credit usage. His card is at 100% usage which if I go to any FAKO credit score sites show up and say I need to reduce the debt (or remove the card from my account) but on myfico it only showed the amount I owed from my own cards. It is told to many people to remove themselves as AU if the usage is high which I could understand but with yesterday's report I have no idea anymore. Can anyone explain how and why AU account usage is not being taken into consideration for my score (not that I am complaining I wouldn't want his usage affecting my score at least for now). I would want to keep it because of payment history but the moment he defaults I am going to get it off my reports.
Some FICO versions don't use AU as much. I believe 04 weighs AU more. Initially 08 didn't count AU cards, but I've heard that they allow it depending on the relationship or situation. For example children, spouse, and people living with the card holder may be considered and others will not. But it's probably a good idea to get your own credit so that your score isn't dependent upon someone elses.
If you have your own cards, now might be the time to do your own rebuild and take your name off. It may also be a good idea so that you can see how the baddies falling off will affect your personal FICO. Since you don't need anything soon, give it a go. Although I understand not going the secured card option, do you have an installment loan? If you don't, I would recommend that you do the shared loan option, before you need an auto or mortgage.
I am going to get myself removed few days before I call TU for EE. I had one installment loan for 6 months just to add it to the mix. Right now there are few types of baddies. One type being collection and other just showing 120+ days late by the old utility company. It will taken off this year so I should have a perfect payment history.
One thing I noticed about FICO report, it is showing old citi account on EX report but I don't see that on my EX report itself only one provided by FICO has that entry. I found that to be very odd.