When is It a Bad Idea to Add Seasoned Trade Lines? 

 

Tradelines are a miracle. They do things that nothing else can. If tradelines were winches, they could raise the Titanic. That might sound like hyperbole, but where else can you find a literal answer to “how can I raise my credit score 100 points?” We’ve seen tradelines raise a score 50 points. We’ve seen 100, 150. If you want to get technical, we’ve seen tradelines raise a score 750 points, though the reports started as blank–but still, NA (or 0) to 750, is a 750 point raise. 

That said, if you add credit lines, the results are not entirely predictable. In that way tradelines are a bit like investing. Remember that famous catch phrase? 

Past performance is not indicative of future results.

Just because you buy an old tradeline, the same one as the customer who got 150 point raise, doesn’t mean you’ll get the same results. And, to be completely honest, there are times when you should not buy a tradeline. So when would that be?

Can I Improve My Credit Score?

 

The good news is that yes, you can always improve your credit score, but whether that happens quickly or not will depend on what’s on your reports. If you want to add a tradeline to boost your scores, you’ll first want to ask yourself if you have any of these things:

Late Payments: The fastest way to torpedo your credit is by missing a payment on an outstanding loan (credit card, mortgage, student, auto, etc). If you are currently late on something, or if you have very recent missed payments, tradelines will have minimal (if any) effect. 

At Boost Credit 101, it is our policy that we don’t add tradelines to reports that have missed payments in the last 6 months. There are exceptions to this, but those are special cases.

High utilization on credit cards: If you’re looking into seasoned credit lines for sale, and you have large balances on your cards, then tradelines will not do much. Even having one maxed out credit card can drop you 100 points or more. Always try to keep cards below the 30% mark, and below 10% is even better. 

Of course, if you’re paying the balance off then it doesn’t really matter. Even if you have excessive utilization of open trades in last 12 months, it makes no difference as long as you didn’t miss any payments. Past utilization has no bearing on current scores as long as the utilization is under control now.

These are the two things that will straight up negate most, if not all, benefits of purchasing tradelines

Without These Issues, How Soon Does Your Credit Score Improve with Tradelines?

–Advice on Credit Repair

In a very general sense, if you add tradelines, the score should improve in two weeks. At Boost Credit 101 our contract states that we have 60 days to place a tradeline–though it never takes that long. But are there other things that should give you pause before purchasing? Yes.

Do you have excessive negative marks? These marks can be: chargeoffs, collections, public records, Bankruptcies. If you have many of these, even adding premium trade lines with large limits and long histories won’t do much. 

But, good news, a good credit repair specialist can remove these, and you won’t even have to look into how to change your credit score illegally

If you’re wondering what that even looks like–there are people out there with illegal software who can remove negative marks. Our advice would be to not engage their services.

A good credit repair person/company shouldn’t take longer than 45-60 days.

A good indicator of a company you don’t want to deal with is them charging a monthly fee. These companies have a business model that puts a premium on taking longer, so they can charge you more fees.

Conclusion: If you have very recent late payments or highly utilized cards, here is our advice–let some time go by so you can get some good payment history. And if overutilization is the issue, it is better to pay down the cards than pay money to add a tradeline. Overall utilization is one thing tradelines help with, but having even one card maxed out will deep-six your credit. 

 

What are Seasoned Tradelines?

 

Are all tradelines considered equal before Lord FICO of the Fair Isaac Corporation? The answer might surprise you, or perhaps not. All tradelines are not considered equal. Perhaps you’ve heard this term “seasoned tradelines” thrown around. What does this mean? Is it as simple as taking your credit cards and sprinkling nutmeg or pepper on them? No, it’s not literal. More like if you’re talking about someone who has done a job for a while, you might hear them referred to as a “seasoned veteran” of whatever it is they do. Tradelines are similar to this. Tradelines that aren’t brand new are considered seasoned, but exactly where after being brand new do they become seasoned? If you own your own cards, how do you season trade lines? There are various schools of thought on this, but a general guideline is that tradelines become seasoned at the 2 year mark. If you take a look at the different credit age tiers on a site like Credit Karma, you can see that under 2 years is the very lowest, red, area of credit age. This is why it isn’t recommended to open accounts unless it is necessary, as the moment you put a brand new account on your reports, you are entering an account with zero history on your report that can drop your average history and thereby, your score.

How much do tradelines cost?

This has got to be the single most common question we get at Boost Credit 101. We answer the phone, and within thirty seconds someone asks to see a list, or asks that question, how much do tradelines cost? And the answer is always the same, it depends. What do you need? Do you need a lot of history to pull up your average history, or do you need large limits? Why would someone need large-limit tradelines anyway? The answer to that question is simple, what you have reflected on your report usually goes some way to predict what you will be approved for when you apply for your own accounts. Does this mean if you get a 20k tradeline that you’ll be approved for the same amount? Sometimes, it depends on what you put for income and what else is on the report. We have seen large limits approved recently, but generally it’s not very easy to get approved for large limits right out of the gate. There is a secret here though. If you get an approval (which should be the general goal with tradelines) for a credit card and you don’t get the limit you want, you can call the company up every 6 months and ask for an increase. If your income justifies it, you will likely get a raise in limit.

That being said, does that mean you should just buy the cheap trade lines and hope for the best? That will depend on your situation, but we have a large list that you could even apply the term cheap seasoned trade lines to. If you want lines that have plenty of history but have lower limits, thus keeping the cost down, we have them; if you’re looking for large limits but lower histories, we have those too. We have large lines with large histories, and small lines with small histories. The cost is relative across the board. Usually we say a good budget for a single tradeline is anywhere from $200 to over $1,000, but remember, you get what you pay for.

Of course, if you have plenty of accounts open, a new one may not have as drastic an effect as on someone with only a few open accounts. And this is a bit of a clue as to why tradelines are so valuable. Let’s say you have a single open credit card account (and that’s all), and it’s brand new, as in opened last month. Your average history is at 0, but if you take seasoned credit tradelines, or just one old one, say aged fourteen years, well then your average history is going to be seven years, right at the tier where age starts being considered excellent. In the below example, you can see the Barclays is 4 years, 11 months old

 

credit-cards-auto-loans-real-estate-loans

 

The total average history for this person is:

 

total-credit-history-for-person

 

2 years and 7 months is a “D” rating as far as average history goes, but this person has credit scores in the 700’s, so we see that you don’t need very old credit to have excellent scores. Credit age is just one of the buckets that contributes to the FICO score, but it is a big bucket as far as influence, and one of the easier buckets to influence with tradelines.

What is the Typical Cost to Purchase a Tradeline?

 

This is the question we get asked the most at Boost Credit 101. How much does it cost? We will tell you, but like a lot of things that have ranges, there isn’t pinpoint answer we can give on this without knowing someone’s specific needs and situation. In a lot of ways, credit is something that makes your life go, and if buying a car, it is exactly the thing that makes your life go from one place to another.

Let’s stay on that car reference.

When your car breaks down, and you’re stranded on the side of the road and you need assistance, is the first thing you ask when you call your insurance company how much it costs to get you out of there? You’re on the highway with traffic going sixty miles an hour not five feet from you. No, you don’t ask how much, because you need the service. The value of the service outweighs any cost consideration. Are we saying that tradelines should be bought no matter the cost? No, that’s a way to get taken to the cleaners, so to speak. You always want to be doing business with people who tell you what you can expect, and for what price. But cost with tradelines should be a secondary factor in considering a purchase.

Do you need tradelines?

Are you able to accomplish what you want without purchasing tradelines? No? Then you probably need them. Either that or get comfortable waiting, as traditional methods of building credit–the way the banks tell you to do it–will take 12 months to two years, if not longer. If you’re looking to get one tradeline, we would put the price anywhere from $250 – $1,500. If looking for two, the prices can be between $500 to over $2,500. Ask us for a free consultation at any time and we can tell you about what it would cost to purchase tradelines.

What are the Cons to Purchasing a Tradeline?

This question can be looked at as a bit of an onion. Let’s peel back the layers from worst to not so bad.

If you just go about willy nilly and purchase a tradeline or tradelines from whoever on the internet, you might get lucky, but you might also get defrauded and lose your money without anything to show for it. This is a real risk when doing business with someone who gives you something cheap, something that sounds too good to be true.

Let’s say you’ve done your homework and given your money to a reputable tradeline company, and they post the tradeline. In fact at this point let’s assume you’re doing business with someone who is going to take care of you. What is the worst thing that can happen with posting a tradeline? Really, the only answer is, it doesn’t give you the boost you were looking for–this assumes that the tradeline has perfect payment history and under a 10% utilization, and if this is the case, a tradeline can never hurt your credit.

You don’t get the boost you wanted, this is the only con when doing business with a good company, but hopefully you have prepared your reports to maximize the effect of the tradelines and this does not happen. A good company will be able to look at your reports and set the proper expectations, and they will have suggestions if you don’t get your desired boost. Tradelines are not miracles, but they are best, and the fastest, way to help boost your credit.

Seasoned Tradelines

Do you have bad credit or no credit? Do you have decent credit, but want to amplify your credit score?

You’ve likely heard all the traditional advice for improving your credit score: secure lines of credit, make your payments and don’t fall into poor standing. This conventional advice isn’t always the best, especially for those who wish to repair and rebuild their credit quickly.

Fortunately, tradelines exist as a valuable tool that anyone can use to build, repair and enhance their credit rating.

What Exactly is a Tradeline?

A tradeline is a line of credit that has been held in good standing for an extended period of time. Officially known as “seasoned tradelines,” these accounts have an undoubtedly positive impact on credit ratings.

Borrowers who have seasoned tradelines offer up their accounts to a third party for a fee. Typically, the third party does not have access to any account information that would allow them to use the account. Borrowers add the third party as an authorized user on the account, which places the account on the third party’s credit report.

The practice of adding third parties to seasoned tradelines with the purpose of improving a credit score is known as “piggybacking.” Piggygbacking tradelines is an outstanding, and entirely legal, tool that you can use to amplify your credit score.

How Does a Seasoned Tradeline Benefit Me?

Your credit score is unique to you. There’s no other credit report in the world that’s exactly like yours. This means that the impact of adding one more tradelines is difficult to predict.

Credit scores are calculated by credit unions using a complex algorithm. This algorithm uses many variables to produce a credit score. Adding tradelines introduces a new variable to the equation. Everyone will experience varied results, since the other variables involved will be different.

However, there are a few general benefits that have been found as people have started using tradelines:

  • People with few negative items on their credit report see a higher increase than those with many negative items. However, tradelines have been shown provide a worthwhile increase to negative reports.
  • The amount of tradelines on your report plays a factor. The fewer tradelines, the more increase you’ll see per tradeline. The amount of tradelines that can be used before the results diminish will vary.
  • People with no established credit have experienced large increases in their credit score. This situation is common with immigrants to the United States who have money, but lack an adequate credit rating. Purchasing tradelines helps establish their new credit history.

Getting Started With Tradelines

Are you ready to see how tradelines can improve your credit score? Adding tradelines to your credit report is an option available to anyone.

Your first step is to determine the best credit repair service to employ. It’s ill-advised to try to add tradelines on your own. The right credit repair service will analyze your report and help you find affordable tradelines that will provide the best boost. They’ll also administrate and secure the entire process.

It’s time to take your credit score into your own hands with seasoned tradelines.