Can I Build Credit Using Another Persons Credit?
Author: Crucial
Posted: Fri Sep 12, 2003 8:45 am
Post subject: Can I Build Credit Using Another Persons Credit?
I've heard of this law where you can legally add another persons credit file to yours thus raising your score substantially. Anyone know how this is done or where I can find information about it
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: tami
Posted: Tue Sep 23, 2003 10:25 am
Post subject: Can I Build Credit Using Another Persons Credit?
I believe you are talking about "piggy-backing", this is when you get a good friend or relative who has good credit to add you onto their account. This can be done with credit cards. For example: If the person has a good credit history with the card company they would simply call the credit card company and add you on to the account as an authorized user. Once that is done the credit line will appear on your file as well. (usually it takes 30-45 days depending on when it is reported), so if they have had the credit card for 3 years then it will appear on your credit file as a 3 year old credit line. But beware that if they default and/or make late payments on the credit card that now appears on your file, it will also affect your credit. But this will give you an instant boost in your credit score.
Author: NightStar
Posted: Sun Nov 09, 2003 12:35 am
Post subject: Can I Build Credit Using Another Persons Credit?
Yes that is quite helpful, but like tami said their are pros and cons to this.
Also important to note, not all creditors report AU Accounts, you have to ask the owner of the account to check on this, to insure they do report and to all 3 of the major CRAs.
Desired accounts are long established credit history, high credit limit verses low balance and pure payment history.
Also you need to know when to let go of these accounts, especially applying for mortgage loans, I notice that mortgage loan officers quite often over look that you are just an Authorized User on these accounts, and sometimes will make the mistake to count these against your debt to income ratio - and possibly turn you down for credit.
Authorized User is only authorized to use the account, it does not make you responsible for paying on the debt should the original card holder default.
_________________
Best Regards,
Pammila Phillis
Board Monitor
http://www.cardratings.com
501-663-0314 PH
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Fri Sep 12, 2003 8:45 am
Post subject: Can I Build Credit Using Another Persons Credit?
I've heard of this law where you can legally add another persons credit file to yours thus raising your score substantially. Anyone know how this is done or where I can find information about it
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: tami
Posted: Tue Sep 23, 2003 10:25 am
Post subject: Can I Build Credit Using Another Persons Credit?
I believe you are talking about "piggy-backing", this is when you get a good friend or relative who has good credit to add you onto their account. This can be done with credit cards. For example: If the person has a good credit history with the card company they would simply call the credit card company and add you on to the account as an authorized user. Once that is done the credit line will appear on your file as well. (usually it takes 30-45 days depending on when it is reported), so if they have had the credit card for 3 years then it will appear on your credit file as a 3 year old credit line. But beware that if they default and/or make late payments on the credit card that now appears on your file, it will also affect your credit. But this will give you an instant boost in your credit score.
Author: NightStar
Posted: Sun Nov 09, 2003 12:35 am
Post subject: Can I Build Credit Using Another Persons Credit?
Yes that is quite helpful, but like tami said their are pros and cons to this.
Also important to note, not all creditors report AU Accounts, you have to ask the owner of the account to check on this, to insure they do report and to all 3 of the major CRAs.
Desired accounts are long established credit history, high credit limit verses low balance and pure payment history.
Also you need to know when to let go of these accounts, especially applying for mortgage loans, I notice that mortgage loan officers quite often over look that you are just an Authorized User on these accounts, and sometimes will make the mistake to count these against your debt to income ratio - and possibly turn you down for credit.
Authorized User is only authorized to use the account, it does not make you responsible for paying on the debt should the original card holder default.
_________________
Best Regards,
Pammila Phillis
Board Monitor
http://www.cardratings.com
501-663-0314 PH
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 1:06 PM
0 Comments:
Post a Comment
<< Home