What is a benefit of becoming an authorized user on a credit account?

Becoming an authorized user on a credit account offers the significant benefit of helping to build credit history. As an authorized user, an individual can benefit from the primary account holder's positive credit behavior, which may include on-time payments and low credit utilization. This shared credit history can boost the authorized user's credit score, especially if the primary account maintains a good standing.

This strategy can be particularly beneficial for individuals who are new to credit or who are trying to rebuild their credit profiles. Being an authorized user does not provide any guarantees surrounding loan approvals or instant improvements to credit limits, nor does it eliminate any existing debts. Instead, it provides a mechanism for enhancing one’s credit profile over time by leveraging the established credit practices of the primary account holder.