mercredi 24 octobre 2018

Settling a Debt: Removing Authorized User and Credit Score

My question involves collection proceedings in the State of: Wisconsin

Not sure if this forum is the right place for this type of question, but perhaps someone with more knowledge of credit scores can give me advice.

I am currently an Authorized User on a credit card, and had no idea I still was on the card. My parents added me as the authorized user back when I went to school the first time to help with emergencies and fuel, and for the last 15 years I was unaware I was still an authorized user and assumed they just took me off when I got a job. I had an unrelated identity theft issue recently that caused me to get more proactive with my credit records, and that's when I found out.

My question is whether or not having myself removed from this card at this time is a good idea or if I should wait.

Some additional information: I have never had a car loan or mortgage (pay in full for cars and rent). I had a student loan debt of less than $10K, but only carried the loan for a little while before inheriting money and paying in full before the grace period expired. My only credit is from credit cards, and my total max credit from my own personal cards is almost identical to the credit limit on the card in which I'm an authorized user (so it effectively doubles credit limit total). I pay off all of my credit cards every month, have never had a late payment, and very rarely ever carry over any balance in a month. However, the authorized user card is essentially maxed out, but it has been open for over 30 years and has never had a late payment, making minimum payments every month.

Will the sudden loss in total credit limit and the loss of a long-history card hurt my score overall when compared with having zero credit utilized every month? I am looking to get a medical school loan in the near future, should I postpone removing myself from this card until after that or do it ASAP?

Thanks!


Settling a Debt: Removing Authorized User and Credit Score

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