How Do You Get A Tradeline?
A tradeline is automatically created when a customer starts a new line of credit. A new line of credit can be a new credit card. The new credit card’s purchases and repayments create a record of history that is included in the credit report of the customer.
The customer can also get a tradeline by asking a family member, like a parent or a spouse, to add the customer’s name as an authorized user (AU) to one of their credit card accounts. A credit card account that is in good standing, together with the customer as AU, can help the customer improve credit.
Credit bureaus also offer ways for customers to add tradelines like Experian Boost. Experian Boost is a free tool that allows a customer to connect the bank accounts used for paying bills. Bills like phone, utility bills, and internet streaming bills like Netflix, Hulu, Disney+, and HBO, are used to create a positive payment history. Positive payment history can result in a boost in the customer’s FICO® score.
Another way of getting a tradeline is through rent reporting services. Rent reporting services allow a customer to use rent payments as a tradeline to the credit report. A credit report that reflects good rental payment information can help boost the credit score of the customer. The customer must choose a rent reporting service that reports to all the three major credit reporting agencies.
Buying or renting tradelines, also known as credit piggybacking, is another way to get a tradeline. This way allows a customer to pay someone to add the customer as an AU. According to Nasdaq, there are several problems with buying tradelines:
Tradelines last for seven years, according to the CFPB. CFPB states that consumer reporting agencies are required by law that after seven years, a customer’s account should be removed from most negative information. Negative information or any information that is older than seven years must be disputed by the customer to the consumer reporting agencies.
Consumer reporting agencies are not required to delete information regarding bankruptcies for ten years. Other information like civil suits, civil judgments, and records of arrests can stay beyond seven years or until the governing statute of limitations has expired, whichever is longer. Positive information on a customer’s account could remain on the credit report for up to 10 years.
Tradelines for fraudulent or incorrect reports can be disputed by the customer. The customer needs to provide valid proof to the credit reporting agencies. The credit reporting agencies review the dispute and will remove the tradelines after 30 days.
For more information on Tradelines contact the professionals at iSoftpull today.