How big of a boost can I expect?
The boost is different for everyone. It all depends on what is currently in your credit report and what you choose to purchase from us. The easiest way to answer this question is to say that there are three “Truths” to boosting your credit score through this method.
The more credit cards we add to your credit report, the bigger the boost will be.
The fewer the number of credit cards that you currently have in your credit report showing as open, the bigger the boost will be.
The higher the limit, and the longer the history for the card(s) you choose to add to your credit report, the bigger the boost will be.
How long does it take to appear on my credit report?
We guarantee that our credit card(s) will appear on at least one of your three credit reports in less than 60 days from the first expected monthly reporting date, or we will give you all your money back. Typically they will appear in less than 30 days; most of the time it takes just a week or two after the first expected monthly reporting date.
How long does the credit card remain on my credit report?
Our Primary Cardholders are required by contract to keep you listed as an Authorized User on their credit card for no less than 60 days. As a result, we guarantee the history of the card you have chosen will remain on your credit report for at least 60 days. In the unexpected event that the card(s) falls off your credit sooner than 60 days, we will either issue a pro-rated refund of your money, or re-add you to the card for an additional reporting cycle, at no additional cost to you. If the card does fall off your credit report after the 60-day lease term expires, and you are still in need of a boosted credit score, we can always renew your lease under the same terms.
What happens after I am removed from a credit card as an Authorized User?
Based on our experience, once your status as an Authorized User with the credit card company has been removed, one of three things can happen:
The authorized user tradeline that appeared on your credit report can disappear, completely removing any benefit you may have had previously the tradeline will remain on your credit report, but the status of the account as it appears in your credit report will change from “Open” to “Terminated” or “Closed”, which removes the benefit you had from the available credit limit. The benefit you were previously receiving from the tradeline’s payment history may remain in this case.
The tradeline will sit stagnant on your credit report with no new information reported. In this case you may continue to benefit from both the credit limit, as well as the payment history. But as time goes on without any new information reported, that positive history may likely be reduced in value to the credit score.
If you need the credit boost for longer than our minimum 60-day time period, be sure to ask us for a lease extension.
Here’s an example: Two people take out a $10,000 car loan for 60 months. Person A has good credit and receives a 4.9% interest rate. Person B does not have good credit, so he receives a 9.5% interest rate (this rate is often much higher for those with poor credit). After five years of on-time payments, Person A has paid $11,295 and Person B has paid $12,601. That’s a difference of over $1,300, or 13% of the original loan. It literally pays to have good credit.