Jump to content

Authorized Users

Recommended Posts

If you go to www.fico.com (the site that lenders, FICO's Actual customers use) and do a search on Authorized User, you'll find two interesting references.  They were originally published back in 2007 and updated in 2010.  They both reference the FICO 08 scoring algorithms which are the latest calculations that FICO uses.


The earliest one...06-05-2007...declares that FICO is aware of the abuse of the AU  principle and has removed AU tradelines from their calculations.


The later one...07-31-2008...points out that they have bowed to pressure regardling legitimate authorized users and have come up with a way to include legitimate AU tradelines in their calculations.  "We have developed technology that will reduce any impact on the FICO 08 score from intentional tampering, while allowing the scores of spouses and other genuine authorized users to benefit from their shared credit experience."


IMO, this means that FICO has figured out how to comply with laws requiring that spouses share credit history and to extend that somewhat to other family members...without allowing abuse of the AU ploy to increase your credit scores. 


In other words, if your spouse or parent designates you as a AU on their "good" credit...in may increase your score if all you lack is credit history.  On the other hand, if your credit is already trashed, or you "buy" good tradelines from Uncle Billy's credit emporium, or your current BFF who lives across town adds you, it probably won't help.


NOTE: The people who bring you FAKO scores are under no such obligations.  I would bet that being an AU increases FAKO scores.

Link to comment
Share on other sites

This topic is now closed to further replies.

  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.