Authorized user

My understanding of this AU thing is that it shows on your credit report also. And it is an excellent way to improve your credit. Now, there is some controversy over whether it helps your credit score or not. But I think that it does. A poster on another board said that his scores jumped tremendously using the AU method. I have girlfriend who has all of her credit period from AUs from her dad. She has great credit. Anyway, you have nothing to lose at least. Good LUCk.

roni

 

They will call him at home a verfiy phone number and address. Did he receive instant approval for gold online???

 

Thanks, did he already have a citibank card prior to applying for this one??

 

Someone else should answer tha

b/c I dont know, Since I never did it myself. But it just makes sense that they would need your social security #. But I believe "when in doubt, call and find out". I would just call citibank application department and find out to make sure the card is set up the way you want it .

roni

 

RE: Someone else should answer

Well when I applied for Sears and associates I also put my hubby as AU, they DID NOT ask for his ss#. And both cards report on his credit reports.


Mom

 

I tried that with amex, and was flat out refused (when i was young, had not much credit, but was on fathers $10K Optima as authorized).

Declined: Insufficient credit established (only 1 year of my own positive trade lines the lady explained).
YMMV.

Enjoy the card, use it responsibly..
(tell him to switch it over to the cash-back platinum select, btw, its more efficient if you don't fly AA much).

 

Authorized user status does nothing to improve your credit score. The reason for this is that you are not responsible for the debt. You could charge to the hilt, not pay and the only recourse the company has is to go after the account holder not the authorized user. You aren't viewed as a co-signer with equal responsibility for the debt, either. That may be the case in fact, but in contract law it is not the case. Yes, the account will show up on your report as an AU account, but note that such accounts are clearly indicated as opposed to an "individual" or "joint" account.

As far as how credit bureaus list without SSN, they also cross-reference and file via name and address.

 

RE: I beg to differ

I know for a fact, that an authorized users score can improve. i don't know if it's does much good for someone with damaged credit. Also I doubt that it would help you for a mortgage, but it will definately get you prime cards if you don't have bad credit. Two people have established credit histories while being anuthorized users on my account.

I'll give you an example, and then tell me what you think:
Mary Sues credit history:
Macy's 06/98- 2,000 limit- Authorized user
Providian 09/00- 1,000 limit- Individual
Citibank AA 10/00- 9,000 limit- Individual
BofA Platinum 10/00- 8,000 limit- Individual
Chase 11/00- 3,000 limit- Individual

Now tell me what do you think helped Mary's credit score, it sure wasn't her first individual Providian account that's only 3 months old.

I know it would be a different story if you were trying to obtain a mortage, and your only credit was an authorized account.

Bottom Line: Authorized Users can improve your score.

 

I have to agree

I have read about this on several boards, one particular board the person posted his story, his scores were low, he was put on several accounts as an AU, these accounts were long standing and had perfect credit status, over time his scores improved most impressively, and that was the only thing he changed just being an AU.

 

Amex - AU is responsible

I added two of my sisters as an AU on my Blue card. Each waw required to accept terms that they would be responsible for any charges made by them that the basic cardholder does not pay.

 

How do you know this for sure. Please share. I have emailed with people who say it has helped their score tremendously. How do you know this for sure?

roni

 

RE: I beg to differ

Your experience may be different, however Fair, Issac scores are determined by individual and joint accounts (unless things have changed in the last six months or so.) My experience in dealing with people who are attempting to re-build credit is that AU accounts aren't helpful. One reason is that not all AU applications are subject to credit checks. I'm an AU on two of my mother's accounts because I do her grocery and other shopping. One is an Optima and the other is a Citibank account. Neither pulled a credit report on me. The cards were issued as a courtesy to the account holder on the basis of her creditworthiness. I could have had terrible credit and I still would have gotten the card.

Every lending agent I've spoken to has said that AU accounts aren't valuable for building credit.

Also, Macy's didn't used to report AU status. They almost consistently reported AU cards as joint. I know because I had an AU card through college and it was reported joint on all bureau reports.

 

RE: I beg to differ

That happens to be alot of folks experience. Ihave a friend who had no credit on her own. It is just her fathers. She's an AU. She gets credit offers all the time because of the positive status. Now she has her own cards. You can go by what people tell you. You are assuming that experian,equifax, and transunion can separate the two kinds of accounts. These are the same people who make millions of mistakes.

roni

 

My understanding is that fair isaac started counting AU's toward the credit score recently because there was a lot of the major cc companies were listing the second person as an AU, regardless of whether they were joint holder, or AU. I could be wrong, so don't count on this but it is what I read.