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QUESTIONS ON PIGGYBACKING(using someone else's credit)


aints68
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I am planning on applying for a mortgage next year. My credit file says I've been in there since teh late 80's, but I messed up and did not buy anything for a long time. My credit file has nothing negative in it now> I have one car loan from GMAC that I have paid like clockwork for the past year. It was hard getting this loan, however. I think the fact that my file showed established so many years ago but had nothing in it for the past 7 years was throwing up red flags to the loan officers. I'm afraid this will hurt me for a mortgage. Even if I go get some new credit established, its all going to look too new and may raise suspicion. My roomate has some great cc references and is offering to let me be added to the accounts. I have some questions about this. If anyone can help with answers to any or all of these, it would be greatly appreciated. THANKS!!

1. Will the opening date on the account listed in my report start when I'm added on or will it show the original opening date that my roommate's report shows?

2. I have been told that being an authorized user won't do much for you since you were not responsible for the debt, and that I really need to be listed as joint. Is this true?

THESE NEXT QUESTIONS GO TOGETHER

3. I do not want to have these on there when I apply for my mortgage, because it will screw up my debt ratio. But if I'm going to have a problem closing out these items, I definitely don't want to do this at alll. Will my roommate be able to contact them 9 or 10 months from now and have my card closed out without them cancelling his account altogether?

4. If I can close out without closing him out, will the reference stay listed in my file but be marked closed so that the mortgage company knows that I do not owe anything on this debt?

5. Should we make sure that the balance on the card is 0 before we close my part out?

6. If I have been taken off, and then somewhere down the road in the future he messes up, can they go back and update it in my file if I am no longer on the account, or can they try to collect any delinquent balances from me? (I don't want to have my future credit screwed up through no fault of my own)

I KNOW THIS IS A LONG POST, BUT ANY HELP THAT ANYONE CAN GIVE ME WILL BE MUCH APPRECIATED. THANKS!!!

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Sorry, I forgot one other question.

Is there any chance that selecting a few good accounts of his to go onto my report will cause any of his other stuff to show up on mine? (He does have a few blemishes on his credit report. I don't want these to show up on mine, nor do I want to blow my debt ratio out of proportion by having a lot of his debt show up on my report.

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I'm not sure what my fico is, but I'm sure it can't be very high. The only thing showing up on me is one loan with GMAC. It's one year old, and I have paid it like clockwork. I'm sure there are a lot of inquiries from last year though, when I was trying to buy a car and several places were pulling my credit. I also probably have a new inquiry from Orchard Bank. I have applied for a card but haven't received an answer yet.

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As far as being an AU, some CCs report it to the CRAs, and some don't. So you want to be sure that the ones you choose will report. When you're ready to take them off your report, just call the CRA, or write them, and have them remove it from your file. As long as you are just listed as an AU and not Joint, it shouldn't be a problem.

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Can't help ya with your question....but here's a bump for ya and a nice piggyback picture to make ya smile.

piggyback.jpg

Aww........that's freakin adorable

Put on as an AU will boost your scores as if you were joint (or they did mine).

You will get the whole history of the acct. Sometimes AU's are hard to remove but just dispute it.

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Thanks for the picture bump. I liked it. I've got a willing person to do this for me, but not until we know all of the facts of whatv we're doing so if anyone could help with any of this, or give me some feedback on their own experience with doing this, it would be greatly appreciated. THANKS!!!

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Thanks for the picture bump. I liked it. I've got a willing person to do this for me, but not until we know all of the facts of whatv we're doing so if anyone could help with any of this, or give me some feedback on their own experience with doing this, it would be greatly appreciated. THANKS!!!

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It is true that prospective lenders don't put much stock in someone being an AU in and of itself. However, it's beneficial when dealing with "score obsessed" lenders. It's not uncommon to see a respectable jump by adding a several year old clean account with conservative utilization. You must really trust the account holder to continue to maintain it wisely. Doing this and maybe adding a secured card in your own name will get you on the right track in a hurry!

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It is true that prospective lenders don't put much stock in someone being an AU in and of itself. However, it's beneficial when dealing with "score obsessed" lenders. It's not uncommon to see a respectable jump by adding a several year old clean account with conservative utilization. You must really trust the account holder to continue to maintain it wisely. Doing this and maybe adding a secured card in your own name will get you on the right track in a hurry!

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It is true that prospective lenders don't put much stock in someone being an AU in and of itself. However, it's beneficial when dealing with "score obsessed" lenders. It's not uncommon to see a respectable jump by adding a several year old clean account with conservative utilization. You must really trust the account holder to continue to maintain it wisely. Doing this and maybe adding a secured card in your own name will get you on the right track in a hurry!

And they would have to trust YOU even more. Remember, we are the ones who have messed up :wink:

If you can find someone nice enough to help you, go for it.

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It is true that prospective lenders don't put much stock in someone being an AU in and of itself. However, it's beneficial when dealing with "score obsessed" lenders. It's not uncommon to see a respectable jump by adding a several year old clean account with conservative utilization. You must really trust the account holder to continue to maintain it wisely. Doing this and maybe adding a secured card in your own name will get you on the right track in a hurry!

And they would have to trust YOU even more. Remember, we are the ones who have messed up :wink:

If you can find someone nice enough to help you, go for it.

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Okay, it should stay there. But now that I am off of here, what happens if 6 or 8 months after I come off, he messes up on one of these accounts. Will they go back and change the info in my file as well or will mine just stay the same. Also, I'm wondering about any balances at the time I close. Will it just keep showing an open balance, or will mine show no balance. If someone has actually done this in the past ( gone on the account and then come off) and then checked their credit to see how the account reported, please let me know. I'm concerned about my debt ration when I go to apply for my mortgage. THANKS!

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Okay, it should stay there. But now that I am off of here, what happens if 6 or 8 months after I come off, he messes up on one of these accounts. Will they go back and change the info in my file as well or will mine just stay the same. Also, I'm wondering about any balances at the time I close. Will it just keep showing an open balance, or will mine show no balance. If someone has actually done this in the past ( gone on the account and then come off) and then checked their credit to see how the account reported, please let me know. I'm concerned about my debt ration when I go to apply for my mortgage. THANKS!

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