Your Credit Report:  What Are AU Tradelines?

It’s amazing to think that just one simple number on a report could have so much impact on your financial future. Being approved for a mortgage, a new credit card or an apartment can all be determined by the number on your credit report. Your credit score is used in various industries as a tool to determine if you are worthy of credit. For those that have a low or poor score, this can be limiting and frustrating.

Each record that is listed on your credit report represents a past or current debt and details like your repayment history. This information is the core of what makes up your credit score. If you have several entries or “tradelines” on your report that show a failure to pay on time or an unanswered debt, this can lower your score. 

If you have had difficulties in the past with your finances, but now have yourself together, it can be difficult to raise your credit score. With a poor credit score, it’s unlikely that anyone will extend you more credit with which you could improve your history. That’s where AU Tradelines can be helpful.

What Are Tradelines?

Using an Authorized User (AU) Tradeline on your credit report allows you to claim an account that is in good standing helping to repair your credit, raising your score. For example, consumers can pay to have a tradeline from a credit card that is in good standing but that they don’t personally own added to their credit report. 

When you pay for a tradeline, you are signing up to be an authorized user on that account, but only on paper. You will have no responsibility for the balance or payment on that account. In simple terms, adding an AU tradeline to your credit report is essentially borrowing someone else’s good credit score.

Purchasing an AU tradeline can dramatically improve your credit score. Lenders that are reviewing your credit report will see the added tradeline that is in good standing and not just the accounts that may be negative. 

Advantages of Tradelines

Improved Credit Score

  • In less than a month, with an AU tradeline added to your credit report you can expect to see a dramatic boost to your credit rating.

Loan Approval

  • When you have a low credit score, it is very difficult to get a loan through traditional channels. You may be able to find private lenders that will overlook your poor credit but any loan you take will come with high-rate interest. When you improve your credit score using an AU tradeline you are more likely to qualify for a traditional loan with much lower interest rates.

Employment Opportunities

  • A potential employer will not be able to access your credit score but they can review a simplified version of your credit report. Your payment history and financial status can make an impression on employers specifically in the financial industry. With an AU tradeline added to your credit report, you may have better employment opportunities.

Living with poor credit can be frustrating and costing you missed opportunities. Repairing your credit score on your own can take more time than you have to spare. If you are interested in quickly raising your credit score and improving your history, consider adding an AU tradeline to your report. Do your research before you commit to a tradeline broker and talk to your financial advisor about the benefits. 

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