Need some advice if you have the time to take a look...
Even though I never wanted it, many many years ago a family member thought they were doing me a favor and made me an "authorized user" on their department store credit card. The other person is the primary account holder, but I am an "authorized user" with my own card on their account -- and that account shows up on my credit score.
The primary account holder is a person who's good about paying their bills ontime and in full each month, so I just kept things as is and never used it. But then another family member asked the primary account holder for the account # and info, and has used it to get items (delivered) for themselves. Unlike the primary account holder though, this other person doesn't care or even notify the primary account holder when they buy something, so the primary owner always has to notice the bill, pay it, then work out getting payment from the other person.
The problem is, the card is on my credit report, just as if it was my own account. It can help my credit score if handled properly, but can hurt it if there are missed payments. Up to now, there have been no missed payments because of the primary account holder's diligence, but he's elderly, has some medical issues, and I'm trying to decide which would be best.
-Balance is currently paid off ($0)
-While *I* never use the card, it does get occasional use a few times a year, both from the main account holder and this other family member. That could help improve my credit score, as I have no revolving accounts or loans and just a couple credit cards I pay off in full each month.
-The card's available credit is about 7-8% of my total available credit.
-I would rately, if ever, use the card (sometimes a bit of an extra discount but I rarely shop at that store and unless it was a huge purchase would just use MC/Visa).
Should I:
Have my credit score lowered for a few years by closing me from the account? Or keep things as they are, (possibly) getting a mild benefit from others using the card, but chancing what will happen if the primary owner isn't able to see charges rung up by this 3rd family member.
Because there are family dynamics, it's not something where the primary account holder will refuse the other person (and that person already has the card info anyway).
Googling seemed to indicate that the credit hit would be the same for an "authorized user" as for a primary user, but I've never cancelled a credit card before (I have Visa/MCs of my own that can be counted on one hand, and that's it) so I don't know how bad the hit will be if I decide to do it.
How much of a hit does one take when closing a credit card that's used a few times a year?
If I did cancel it, would it help to ask one of my own cards to increase my credit limit by the amount of the card I just cancelled, or not make a difference?
Are the benfits of keeping it open worth the risk of the primary account holder missing purhcases from the 3rd person and having a missing payment pop up on my credit score because of them?
