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Does utilization include charge-offs?


BigJT
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Charge-Offs are no longer available to be utilized. They are not part of your available credit model and do not factor into the 30% of your score that is Utilization.

However, they impact the 35% of your score which is Payment History. The more recent the chargeoff, the more it is hurting you.

http://www.creditinfocenter.com/forums/credit-bureaus-reports-scores/210720-credit-scoring-101-a.html

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  • 1 month later...
A related question: does utilization include authorized user accounts?

Not as much as if it was your own account, if at all. AU is not the same as liability for default. So if I was your brother and added you as an AU to my card with a 10K limit and 0 bal, it would not give you 10K of available credit...because you are not the primary liable party to the account.

If it's a JOINT ACOUNT, however, then yes. same example, if I was your brother and you were JOINT holder on my card with 10K available, then yeah that'd affect you.

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I had a question similiar to this. Can a person be added to an exsiting credit card account as a joint user?

Sure, if the other person agrees to that. Then both parties are equally liable for the debt if anything goes bad. Likely though, the CC company will run the credit of any potential joint account holder.

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