If my mother applies for an American Express card, & adds me for a 2nd card can that help me build my credit?

Answer 1

Absolutely. Whenever you add your social security number to an account, your credit report will be impacted; it’s sort of like co-signing on a loan. I’m guessing that you’re young and might not have a lot of credit experience under your belt, so this is a great way to get a head start on building your credit history and is actually something I would recommend for anyone that hasn’t had a credit card before.

Your credit score is determined by the following information:

• 35% - Payment history
• 30% - Total amount owed vs. total credit available
• 15% - Length of credit history
• 10% - New credit accounts
• 10% - Types of credit used

As you can see, most of these won’t apply to you since you cannot open your own accounts. You can take advantage of the “payment history” category (comprising 35% of your score) and the length of credit history (15% of your total) by being added to your mother’s account, which will prime you for your own credit card in the future at a much lower interest rate than someone with no history of any kind.

Another important thing to mention is the fact that American Express has a number of programs for people who are on joint credit accounts (usually parent & child) that can assist you in getting your own American Express card when you come of age or are ready to apply. Many of my clients choose to go this route when they go to college or when they have built up their credit score to a desired level; the majority of these people say they would recommend this to anyone who hasn’t ever had their own credit card before.

American Express customer service can be reached at 1-800-528-4800.

Answer 2

Yes it can. Whenever you add new credit (mortgage, car loan, student loans, credit cards) your credit will initially go lower. After 6 months of proving to the credit bureaus that you can handle the new credit, your credit score will gradually increase.

Remember, it is important to maintain the amount you borrow on the card below 40% of the maximum limit. If it is higher, it can hurt your credit.

Answer 3

Yes,because my wife add me for her 2nd credit card and it show on my credit report in good standing

Answer 4

No, because she remains the actual card holder responsible for debt incurred.