 TITLE: Credit Card Authorized User: What You Need to Know CONTENT: How Does Being an Authorized User Affect Your Credit?\n-----------------------------------------------------\nAs an authorized user, the credit card account is reflected on your credit report, which can help you make progress toward building a robust credit history.\nFor example, say you're 18 and you've been added to a parent's credit card as an authorized user. A few times a month, you use the card to pay for gas, and you pay your parent for those charges. Meanwhile, your parent uses the card to make purchases of their own, like a new dishwasher and a Netflix subscription. Your parent pays off the full balance each month.\nIf the credit card company reports authorized user activity to the credit bureaus, all of the credit card's characteristics will be reflected on your credit report, including: its credit limit, the amount of credit being used (known as credit utilization) and payment history. If the card's been managed responsibly, meaning no missed payments or high levels of debt, an authorized user account has the potential to improve your credit scores.\nOn the flip side, if your parent misses payments or uses a big portion of their credit limit, your credit may not improve. The impact of negative information depends on how the credit bureau views that history. Experian, for example, won't include the information on an authorized user's credit report if the primary account owner misses payments, but high credit utilization—like a maxed-out credit card—could wind up damaging the authorized user's credit.\nPlus, your own credit history will factor into how much your credit is affected by authorized-user status. If you're new to credit, being an authorized user could have a bigger positive impact than it would for someone who has an established credit history or damaged credit. END