Can it even work? I mean, by the time it gets to underwriting, it's all going to come out in the wash, won't it?

I have an eBook that has specific instructions on how to improve your credit in sixty to ninety days. I have also known people who have followed the instructions and had it happen. It involves borrowing from one bank with a debit account and opening up an account at another bank with the borrowed money (which is really yours anyway), and making timely deposits and payments on the second account which will then give you a steller rating for that account. There's a lot more to it but that is the gist of it, using your own money to pay several new accounts off on time.

Gene, that makes perfect sense.

Reading Jay and Francy's blog, I saw a post that echoed my thoughts--even if it could be done by piggybacking on someone with better credit, wouldn't it worsen the score of the stronger party?

Hmmm.........Candice just swapped out her photo and became a skiier. Love the Sizzlin' website!

LOL . . . all the talk on another post about pics and I am here writing today . . . I wanted to play too. Still not as cute as Vance, but I can now see if I can catch a ride behind Cathy's halo . . .

Jay,

I have not heard of a company using this process. However, I have heard that a person can actually gain the credit history of another person simply by having them put on a credit card account as an authorized user even if they don't actually issue that person a credit card.

The next time the credit card company reports to the credit bureaus, they now report it for both users of that account...thus the new user gains the history of the initial credit card holder.

I wrote about this a few days ago on my blog.

http://activerain.com/blogsview/115031/Renting-good-credit-Is

I was shocked that these companies are even allowed to do this.

Keil, that's exactly what these companies are doing.

I bought a cd set on how to improve your credit.  One of the suggestions they had was to have someone with good credit put you on the account as an authorized user.  This does not affect thier credit, but will help the person with the lower credit because it shows up on their report now as having this open line of credit (the longer open the better) and that it is in good standing.  

One of the things the credit scoring looks at is how long your accounts have been open.  The longer the better.

I, too, saw that article.  Sounds risky and could bite you down the road. Just another loop hole in the mortgage world.

I did have a mortgage broker suggest for one of my credit challenged clients to have them open 2 credit cards with $1000.00 limits each. Use them and make a payment but always have a balance owing of $299.  She told me one of her clients brought up their FICO score by 50 points in 2 months.  I wouldn't know if that works or not!

Martha,

Yes that does work.  For optimal credit you need to keep your credit balance at 70% of the credit line.

Candice, that's a cool site! Nice work.

I think I'm going a bigger boat.....

Thank you, Anson but I take very little of the credit. Sizzling Studios does awesome work.

I think I'm going to *need* a bigger boat.......

I'm with you, Jay.  I've heard of this and wondered who 'with good credit' would even want to go along with this process... I work too hard keeping a very high score; sure wouldn't want it messed up by someone else's.