There are many ways to build credit, and one good option is the authorized user. Many credit cards allow you to add an authorized user to your account, and this will have some important impacts on both users’ credit reports. The activity of the card will show up on the credit report of each user: if the activity is good, it will have a positive effect, but if the activity is bad, it will have a negative state. This is why it’s very important to choose your authorized users carefully, or, as an authorized user, to choose your primary cardholder carefully.
Learn more about being an authorized user on a credit card in our Q&A video with credit expert John Ulzheimer.