There was a news article on Yahoo a few months back, on people paying others with good credit with great credit cards to place them on their accounts, ordering an additional credit card in the name of the purchaser (bad credit guy), therefore increasing the credit of the other guy. The card will be sent to the one ordering it, and they can then tear the card-up, thus the process being relatively safe. Did anyone see that article? I would like to do that, so if someone could help, It would greatly appreciated!
2007-07-20 04:40:02 · 10 answers · asked by ntfireballs 2 in Business & Finance ➔ Credit
Build your credit, don't try to buy it.
In the credit reports, a "shared" account will have you designated as an authorized signer. If the account history is significantly different from your other accounts, it's easy to tell.
As a loan review person, I will immediately discredit the person when there's a piggyback situation like that. Your credit score may improve somewhat, but your credit is still crap. I've turned down people just for having an obvious piggyback account.
By the way, FICO is updating the credit score model to disallow piggybacking starting in September. Besides, there are a lot of other factors within the model.
I recommend:
1) To all of you out there, DON'T "SHARE" credit with someone who doesn't deserve it. A person with bad credit wants to share your good credit so he can BORROW MORE money. And when he is late or defaults on the loan, creditors will have to charge the rest of us more money to make up for the loss. It makes loans more expensive for the rest of us with good credit.
2) To the asker, DON'T try to shortcut the system. You can easily build up your credit over time by:
a) Paying ON-TIME
b) Living within your means
c) Getting out of debt
Cheaters never prosper!!
Just Be!
2007-07-20 05:00:27 · answer #1 · answered by MBA Don 4 · 0⤊ 0⤋
This was done by a company called instantcreditbuilders.com and the mortgage industry lobbied the FTC to change the way credit scores are calculated as a result of this.
Starting in September and being retroactive credit scores will no longer give additional points to authorized users and any who had additional points in the past will have them removed.
All because someone was trying to cheat the system
2007-07-20 11:47:52 · answer #2 · answered by ? 7 · 1⤊ 0⤋
It is because of people like you and Cali Girl that those of us who are authorized users on our husbands credit cards will have trashed credit starting in September. Before I met my husband I never had a card, now the only cards I have are ones that I am an authorized user on...so in September I will have no credit since they are rolling back all the benefit that people have recieved from being an authorized user on his card...
If people weren't trying to cheat the system and steal credit those of us who are legitimate wouldn't be having a problem!
2007-07-20 12:09:37 · answer #3 · answered by Anonymous · 0⤊ 0⤋
hahaha anybody falling for that needs a brain transplant. Who in his right mind is going to get into a moronic deal like that with a perfect stranger? I wouldn't even let somebody I knew use either my credit card or my credit history.
2007-07-20 12:09:19 · answer #4 · answered by sharmel 6 · 0⤊ 0⤋
Yeah, they are the ones who messed it up for us authorized users on our family members account. Thanks to them my little sister no longer gets the credit advantage of being on my moms credit card.
I think they are just going you rip you off. Stay away from that. You can build your credit up by getting a secured credit card.
2007-07-20 11:56:22 · answer #5 · answered by Cali Girl 3 · 0⤊ 1⤋
Check out the free evaluation form at the source website and they will contact you regarding the addatradeline programs and other ways to improve your credit; good luck.
2007-07-20 16:34:58 · answer #6 · answered by stephen l 2 · 0⤊ 1⤋
Invitation to scam artists. A company or two was doing it for a fee; and it's being outlawed in most places if it hasn't already been.
2007-07-20 11:42:41 · answer #7 · answered by wizjp 7 · 1⤊ 0⤋
Don't worry about it because as of September that practice will no longer work because the scoring system will be changed not to consider "piggybacking".
2007-07-20 11:50:06 · answer #8 · answered by Anonymous · 0⤊ 0⤋
Thats the site from the yahoo article
http://instantcreditbuilders.com/
2007-07-20 11:49:08 · answer #9 · answered by Sporty 3 · 0⤊ 0⤋
dont fall for such gimmicks. you will end up with huge loses and card bills that you know nothing about but will have to pay. remember there are no free lunches! god be with you if you still want to try such an offer?
2007-07-20 11:47:37 · answer #10 · answered by sherkhaan09 2 · 1⤊ 1⤋