26.12.06

Becoming An Authorized User To Build Credit

- Credit History -

If you’ve never had a credit card, trying to get one for the first will probably be very difficult because you have no history and thus you’ve built up no trust. So, a common tip I’ve read is to be put as an authorized user on someone else’s account so that you can begin building your history.

Unfortunately, unless the other person is a spouse, the company is not required by law to report the card to the credit bureaus – they can do so if they want, but they can’t be compelled to do so. Some companies do report the authorized user to the credit bureaus and so that can be a way to begin building history, but it’s not universal. Call ahead before you are put on as an authorized user if you’re using it to try to build your history.

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