Authorized User?

For just about anything you want to get off your chest about credit cards.
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AceH
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Authorized User?

Postby AceH » Sun Sep 11, 2011 12:49 pm

If someone has you listed as an authorized user on their credit card, would that interfere with your credit score?


Money card
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Postby Money card » Sun Sep 11, 2011 3:42 pm

whoever the primary card holder is. for example whether a visa, mastercard or American express. let's say you have a blue cash card and you gave a co-worker or employee a card. whose name and account number is on the front of the card goes on the credit report.

unless it's a corporate or small business then it goes on the owner's credit report.

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Postby Money card » Sun Sep 11, 2011 4:00 pm

And the answer would be yes. If you gave your friend a Visa, Discover or American Express card like Blue Cash and you went to Lord & Taylor and some other places, charged 124 and your friend went all over Macy's, Neiman Marcus, Champs, Banana Republic, went all over and charged 5,000 a month and you can't pay their portion, don't you kind of think that would go on your report?

But if they charge the same amount as you around 124.00 they write you a check and you write American Express a check for 248.00 then there's no problem. The only problem is if they don't receive any portion of that bill. so if you are adding somebody to a card you better make sure they pay you or you will pay. if they can't pay you don't add them.

If they want to add you, can you pay for your charges?

AceH
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Postby AceH » Sun Sep 11, 2011 4:22 pm

What I meant was a family member added me to their card as a surprise gift. Will this affect my credit rating?

ooxs
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Postby ooxs » Sun Sep 11, 2011 7:44 pm

It all depends on the account history. You re an "authorized user" FICO will include the account history in your credit report and will treat this account like one of the accounts you own. It is good to know something think highly of you, it take a lot of trust for someone to do this.

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Postby Money card » Sun Sep 11, 2011 7:52 pm

a Family member added you as a surprise gift. let's say whether they gave you a Mastercard, visa , American express or a Discover
they gave you one of these cards as a gift, I'm going to assume since you knew nothing about it, on the front of the card has there name
and you sighn the back of the card under your name, if that's the case your credit won't be affected however if your family member called 1 of these company's and asked to have you on there card with your name on the front if the account is exatly the same no changing the last 4 digits of this account your credit wont be affected.
But if they applied for a Blue cash card for themselves and as a gift your family member wanted you added and the account number is completely different , just the cards are the same this will affect your credit should you decide not to pay your bill in full.

AceH
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Postby AceH » Sun Sep 11, 2011 8:14 pm

The family member got an extra card with my name on it (this was a surprise so I did not sign anything), but the credit card number and billing address is the same as the family member's card they've had for awhile.

P.S. I ask because I have a credit card of my own. My limit is not as high as my family member's limit. I have always paid off my card in full each month when I receive my statements. My family member, while they have good credit most likely does not pay in full each month, albiet they do pay much more than the minimum.

While I do appreciate the gesture on the part of the family member for doing this, however; upon last check, my three credit scores were near 800 and I don't want anything to bring it down even the slightest bit.

ooxs
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Postby ooxs » Sun Sep 11, 2011 8:27 pm

You can use this account to help your credit. The primary account holder is the one that is most responsible for this account and the one to take a hit should you decide not to pay.

Let us know if you have any concerns

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Postby Money card » Mon Sep 12, 2011 5:17 pm

I'm going to say it wont affect your credit report. Just because the account numbers are the same.

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Authorized user activity may appear on credit rpt even though AU is not liable

Postby Iroquois » Tue Sep 13, 2011 4:46 am

If the card company has the social or can obtain the social it now be but will be in the future reporting the activity to the bureau. If the individual is an actual account owner then they are liable for the activity. If only an authorized user (AU) it will be reported and noted as the person being an AU. What the financial institution does with that info in its analysis of credit of the AU seems to vary by issuer.
If you call the issuer, they will tell you who is an account owner and who is an authorized user.
You can be removed as being an AU or have someone removed by contacting the card issuer, but the previous history will still remain on the credit bureau records. In general good history remains on a bureau I believe for 10 years and bad history ( any negative activity) for 7. Errors are of course corrected in the bureau's history



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