3 Questions for Piggybacking
Piggybacking in the world of credit score repairing is maybe the queen in the kingdom. Piggybacking is fast, easy and almost without risk. The easiest way to understand piggybacking is by answering the three basic questions about it.
One: What is piggybacking in credit scoring?
Piggybacking is a method to fix credit score. It works by including someone’s good credit history into a poor credit scored report of other person. The method is simply done by finding someone who has good credit rating on his credit card. It should be a long aged credit card for ten or seven years, with a low outstanding balance from reputable credit card company such as AMEX, Citibank etc.
After that, asking the credit card owner to include the poor credit score client to be authorized user of his or her credit card. It is simply done by filling up the application form of supplemental card holder and sending it to bank or credit card company. The result is the poor credit score will gain improvement because the sponsor’s credit history will be appeared in the credit report.
Two: Legality
Piggybacking is an endorsed method in FICO score used by the three credit rating companies, Equifax, Experian and TransUnion. It is inline with the Equal Credit Opportunity Act.
Three: How to do it?
You can approach your best friend or closest family to apply for supplemental card holder for you or keep this credit matter confidential by using credit score advisor. This company will inform you reputable credit card holders who agree to add you as Authorized User for certain fee. Credit score adviser will safe you from doing something like wearing printed t-shirts saying to your friends, “Help me! I have bad credit rating “. If you can get professional confidential help, why should you go personal?
The piggybacking is indeed a great solution for increasing credit score. It is done in legal way and has fast effect to the score. There is no risk for the credit card holder who gives the space of supplemental card holder because he will never give the physical card or PIN to avoid unnecessary use of credit card. The purpose of piggybacking is limited in sharing his credit history not sharing his credit lines.
This post written by Phillip Thow