Amex balance reporting problem

Old Apr 19, 19, 5:47 pm
  #1  
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Amex balance reporting problem

I checked my credit score today after getting an alert from CreditSesame and CreditKarma (score dropped fro 820 to 780). Amex is reporting a balance that is WAY off. "Between March 10, 2019 and April 9, 2019, your AMERICAN EXPRESS credit card balance increased by $14k from $11k to $25k"

I've never had a balance of $11k and certainly do not currently have a balance of $25k. I have 3 primary cards (1 personal, 2 biz) and 1 AU. In March, I paid my $600 (total) worth of balances in full (never carry a balance). On 4/15 I charged $9k in taxes to my biz card and that is the only balance across all cards.

Anyone know why Amex would be reporting a balance so off?

Edit: Could it possibly be related to the primary for my AU? If so, would this affect MY score? That seems wrong to me.
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Old Apr 20, 19, 6:34 am
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Originally Posted by Stgermainparis View Post
I checked my credit score today after getting an alert from CreditSesame and CreditKarma (score dropped fro 820 to 780). Amex is reporting a balance that is WAY off. "Between March 10, 2019 and April 9, 2019, your AMERICAN EXPRESS credit card balance increased by $14k from $11k to $25k"

I've never had a balance of $11k and certainly do not currently have a balance of $25k. I have 3 primary cards (1 personal, 2 biz) and 1 AU. In March, I paid my $600 (total) worth of balances in full (never carry a balance). On 4/15 I charged $9k in taxes to my biz card and that is the only balance across all cards.

Anyone know why Amex would be reporting a balance so off?

Edit: Could it possibly be related to the primary for my AU? If so, would this affect MY score? That seems wrong to me.
It could be and probably is your AU card and that would affect your score. It's not wrong at all.
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Old Apr 20, 19, 12:46 pm
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Originally Posted by Stgermainparis View Post
Edit: Could it possibly be related to the primary for my AU? If so, would this affect MY score? That seems wrong to me.
It sounds like you already know the answer. Of course that's it: although the AU is also personally responsible to Amex for their charges, Amex extended the credit line to you, based solely on your creditworthiness and promise to pay. It wouldn't make sense for it to work any other way.
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Old Apr 20, 19, 1:09 pm
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Originally Posted by Steve M View Post
It sounds like you already know the answer. Of course that's it: although the AU is also personally responsible to Amex for their charges, Amex extended the credit line to you, based solely on your creditworthiness and promise to pay. It wouldn't make sense for it to work any other way.
I don't understand this. Amex extends credit to the primary cardholder, not the authorized users. I am an authorized user on someone else's primary card. Why would I be responsible for the charges made with his card/number? And therefore why would it affect my credit rating? I can understand that I'm responsible for my own charges (and primary would also be responsible for my charges ultimately), but the other way around doesn't make sense to me.
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Old Apr 20, 19, 1:32 pm
  #5  
mia
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Originally Posted by Stgermainparis View Post
.... related to the primary for my AU? ....
Originally Posted by Steve M View Post
.... Amex extended the credit line to you, based solely on your creditworthiness and promise to pay....
While the syntax is unusual, I believe Stgermainparis holds a supplementary card on someone else's account, and the primary cardholder's full balance is appearing on Stgermainparis's credit report.
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Old Apr 20, 19, 6:04 pm
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Originally Posted by mia View Post
While the syntax is unusual, I believe Stgermainparis holds a supplementary card on someone else's account, and the primary cardholder's full balance is appearing on Stgermainparis's credit report.
Correct.
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Old Apr 20, 19, 7:08 pm
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Thatís how it works. It is a single account, with multiple cards. The account as a whole gets reported; Amex doesnít report card-specific balances to the credit bureaus. They are not alone in this. My FIL is a financial train wreck. He opened a Discover card and added all his adult kids as authorized users (but didnít give any of them the cards), and trashed all their scores when he ran up a major balance.
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Old Apr 20, 19, 8:59 pm
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Originally Posted by javabytes View Post
Thatís how it works. It is a single account, with multiple cards. The account as a whole gets reported; Amex doesnít report card-specific balances to the credit bureaus. They are not alone in this. My FIL is a financial train wreck. He opened a Discover card and added all his adult kids as authorized users (but didnít give any of them the cards), and trashed all their scores when he ran up a major balance.
Nice guy. Should be a case study into why one shouldn't add - or agree to be added - as an AU.

I see so many posts where people want to add family members and even co-workers as an AU (for an extra 5,000 points or so.) Unless you really know the financial responsibility of that person, forget it.
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Old Apr 20, 19, 10:18 pm
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Thanks for the info, everyone. The primary is extremely financial responsible and carries no debt. Is able to make expensive purchases and always pays off balance once statement hits. This was the first time I noticed. Iíve been an AU on this account for over 20 years. Itís probably happened before but I didnít pay attention. Now that I know what happened I wonít panic. Interestingly, I went on the payments tab in my online account today and could see the full balance. So that is indeed what caused the increase in balance.
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Old Apr 20, 19, 10:30 pm
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Originally Posted by Diplomatico View Post
Nice guy. Should be a case study into why one shouldn't add - or agree to be added - as an AU.

I see so many posts where people want to add family members and even co-workers as an AU (for an extra 5,000 points or so.) Unless you really know the financial responsibility of that person, forget it.
That's the thing - she never agreed or even knew about it until it showed up on her credit file. Her dad new her SSN (because what father wouldn't) and that was all Discover needed. Discover wouldn't actually let her cancel her own AU card since she was not the primary cardholder, even though it was unauthorized - she had to get him to do it.
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