Use the list of common mistakes below to make sure you get the most out of your authorized user tradelines. Don’t make the same mistake we saw before!
Having fraud alerts or having credit on your account is freezes
New tradelines will not only post to your credit report if your account receives a fraud alert or credit freeze.
Fraud warnings basically freeze your account, so no new information can be added. If your credit file contains fraud warnings, you must contact each credit bureau to remove fraud warnings before you can add new tradelines to your file.
Not knowing how tradelines work
The most important thing when buying a tradeline is, in our opinion, understanding how the tradelines work. Without this understanding, it is easy for commission salespeople to mislead you and let you sell your tradelines that are not best for your particular situation.
Not understanding how credit scores work
It is important to have a general idea of how your credit score works before buying a tradeline. There are plenty of useful resources online that can help you follow the factors that affect your credit score, such as our guide to building credit with tradelines. Understanding the value of investing in knowledge power, and how credit scores work because your credit can affect everything from your finances to your work.
Strictly judge a trendline capacity by price
It is not wise to pay the price first when buying a tradeline. It is easy to assume that the more expensive a tradeline is, the stronger it is, but this is not always the case.
For example, someone with a very established credit profile can look at a $ 1000 tradeline and simply assume that it is theirs. However, if that $1,000 dollar tradeline does not significantly improve the current average age of their accounts or lowers their already low usage ratio, it may not have much effect, or it may even hurt their credit!
Relying strictly on buying tradelines
It is not smart to rely solely on authorized user tradelines purchases when creating or rebuilding credit. In general, the tradelines you can buy are usually authorized user positions on credit cards, which rotate accounts.
While this can be very powerful, almost all credit scoring models will consider your total credit mix and it is more optimal to have a good mix of different types of credit accounts.
Valuing limit more than age
Many people initially focus only on how much credit a tradeline has. They often think that a tradeline with the largest credit limit is automatically the best tradeline.
For example, they might ask, “Should I get a $30,000 tradeline, or do you think $20,000 is enough?”Moreover, this question is flawed from the beginning.
Buying cheap tradelines as a test
Some people will use the technique of buying a cheap tradeline to see what they do first and if it works a little, they will buy better next time. We think this strategy is a mistake.
For one, it becomes more expensive in the long run, because now they have to buy two trendlines (one cheap one and one better quality one) when the person will probably be better off starting more high-quality tradelines.