Does adding an authorized user hard pull? This is a common question among credit card holders who are considering adding someone to their account. In this article, we will explore the concept of hard pull and how it affects your credit score when adding an authorized user.
Adding an authorized user to a credit card account is a convenient way to share the benefits of a credit card with someone else. Whether it’s a family member, a partner, or a friend, having an authorized user can be advantageous in many ways. However, it’s important to understand the implications of adding an authorized user, particularly when it comes to hard inquiries and their impact on your credit score.
A hard pull, also known as a hard inquiry, occurs when a lender checks your credit report to evaluate your creditworthiness. This type of inquiry can temporarily lower your credit score, as it indicates that you are applying for new credit. The question of whether adding an authorized user triggers a hard pull is a crucial one, as it can affect both the primary account holder and the authorized user.
In most cases, adding an authorized user does not result in a hard pull on the primary account holder’s credit report. Credit bureaus typically do not consider adding an authorized user to be a credit application, and therefore, it does not trigger a hard inquiry. This means that the primary account holder’s credit score will not be affected by the addition of an authorized user.
However, it’s essential to note that the authorized user’s credit report may still show a hard pull if they were to apply for credit using the primary account holder’s credit card. This can happen if the authorized user applies for a loan or credit card using the primary account holder’s credit card number. In such cases, the authorized user’s credit score may be impacted by the hard pull.
It’s also important to consider the credit utilization ratio when adding an authorized user. The credit utilization ratio is the percentage of your available credit that you are currently using. If the authorized user has a high credit utilization ratio, it may negatively affect the primary account holder’s credit score. Conversely, if the authorized user maintains a low credit utilization ratio, it could potentially improve the primary account holder’s score.
In conclusion, adding an authorized user to a credit card account generally does not result in a hard pull on the primary account holder’s credit report. However, it’s crucial to be aware of the potential risks associated with adding an authorized user, such as the authorized user’s credit behavior and the impact on the primary account holder’s credit utilization ratio. By understanding these factors, you can make an informed decision when adding an authorized user to your credit card account.
