If I add someone as an AU, will it help build their credit? What will be reported on their report? (original open date, etc? high balance?) Will all my history be reported on their report as well?
Yes to all of your questions. The hisory of the account will be reported on the AU's credit report exactly how it's reported on your report. Be advised that they account can show up on the AU's report either right away (less than 30 days) or several months later. In my case, I was added on as AU and it reported right away on Equifax but took about 7+ months to show up on my other reports.
Damn so if I added my girlfriend to my account (with not so great credit), I'd REALLY be helping her out? Her current highest limit is $700, I have a platinum charge card, have charged over $10k in a month before, paid in full. Will this boost her score by a lot once it gets reported?
Yes you would be really helping her out. I don't know the exact boost in score....or if it would really even be a boost (since the whole score game is still trying to be figured out) but the only way you can find out is if you try. If it turns out that having the AMEX trade on there is actually harming her, then you can take her off, and she can dispute the account as closed. AMEX will probably not respond to the dispute and the trade will be removed. Well, that's what happend in my case. I took myself off as AU, and I disputed the account w/ the CRA's a closed and they deleted it from all my reports.
Not all lenders count accounts showing as "AUTHORIZED USE" in their scoring models... they certainly don't count in a mortgage situation. But, in some models (straight bureau scores, credit expert, etc.) they do count, usually positively. I like the previous answer - try it, if it hurts, remove her and she can dispute it. Good luck, mj
