Expert: David McArthur - 3/11/2009

Question
My scores are not good. 575. 514. 602.  I am trying to raise my scores.  I was just put on an American Express card as an authorized user.  That persons card is in good standing.  Once it starts showing on my credit report, how much will this increase my scores?

Answer
Edward, it will help a little at first.As time rolls on it will have greater impact.  I can't give an exact number because several things are factored in...How long your on the account, payment history, and ratio of credit limit in use.  

As long as they pay the card off each month and never make a late payment, by itself I would expect a 20-50 point increase in 6-12 months.

There are a couple other steps you can take that will maximize your ability to raise your score.  They include the following:

1.  Open 1-2 secured CD's.
2.  Create 1-2 major bank credit card line.
3.  Sign up at www.financialscoringsolutions.com to have negative past credit history deleted.
4.  Stop your inquires.
5.  Settle any outstanding collections.

If you want more detail around these feel free to give me a call.  I don't mind.  

David McArthur
219-718-8566