If you want to build your credit, one of the commonly-advertised ways is to become an authorized user on an existing account. Parents with good credit often add their children to credit accounts to give them a head-start with credit. And, spouses commonly add one another to their accounts to share spending and expenses.
But, what if you need to build credit and you want to become an authorized user but you don’t know someone willing or able to add you to their account? Well, you can “buy tradelines” (pay to become an authorized user on a stranger’s account).
Tradeline Supply Company is essentially a marketplace for people to buy and sell tradelines. And, you’re invited to join!
But, can you trust Tradeline Supply reviews? Is this a safe way to build credit? Are there other comparable offers you should check out? And, what should you know about the process before you dive in?…I’ll answer all of these questions here so you can find out if buying (or selling) tradelines is the right choice for you.
This is what’s in store:
- What is Tradeline Supply Company?
- Do Tradelines Really Work?
- Tradeline Supply Company Features
- Frequently Asked Questions
- Conclusion: Is Tradeline Supply Company Legit?
So, let’s dive in!
What is Tradeline Supply Company?
Tradeline Supply Company is a business that brings people together to buy and sell authorized user tradelines—credit accounts where someone is allowed to be added as an authorized user.
The service is meant to address “credit invisibility” and inequality by providing a way for people to become an authorized user on established credit accounts. It’s about providing equal opportunities to those who may not have access to tradelines through family or friends.
This is not a credit repair company and does not promise or advertise that their product will boost credit scores directly. Instead, they emphasize that there’s no guaranteed improvement in credit scores through their service.
The company also highlights the educational aspect of their service. They share “free resources” to empower people with knowledge about credit and finances.
Finally, Tradeline Supply Company allows you to become a broker or affiliate, which means you can earn commissions by referring others to their program—This provides a way for you to spread awareness about their services and potentially earn income doing it.
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How Does Tradeline Supply Company Work?
Tradeline Supply Company allows you to purchase tradelines online through an automated checkout process. After you pay, the “seller” (original cardholder) is responsible for adding you to the account you paid to become an authorized user on.
After you’re listed as an authorized user, when the creditor reports, the impact should be visible on your credit report. Tradeline Supply Company also lists the reporting date on their available products/pricing page.
You will not get your own credit card, you will not be able to make changes to the credit account. But, your credit report should reflect the new account.
With tradeline purchasing, the impact is usually temporary, as you will only be listed as an authorized user for 2-3 reporting cycles. After which, the account will usually fall off of your credit report.
Tradeline Supply Company collects various types of personal information, including:
- Specific product or service needs
- Social Security Numbers
- Credit profiles
- Addresses
- Payment information
This information is shared for everyday business purposes, such as processing transactions, maintaining accounts, and reporting to credit bureaus. The company also shares information for marketing purposes and joint marketing with other financial companies and affiliates.
You have limited options to control this sharing—you can opt out of receiving non-essential marketing communications and limit sharing with non-affiliated third parties.
Tradeline Supply Company promises to protect your personal information using security measures that comply with federal law, including:
- Computer safeguards
- Encrypted storage
- Employee training on privacy and security protocols
This does imply that staff might be able to access some of your personal information. While I’m sure they’d be fired for this, it doesn’t mean something awful couldn’t happen first.
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How Much Do Tradelines Cost?
On the Tradeline Supply Company marketplace, the cost varies tremendously based in part on the credit limit and age of the tradeline.
Here’s a summary of the pricing as of early April, 2024:
- Lowest limit – A CP1 card, opened in 2011, with a $1,000 credit limit is available for $488.75.
- Lowest price: A Discover card, opened in 2019, with a $2,100 credit limit is priced at $287.50.
- Highest limit: For a Chase credit card, opened in July 2020, with a $56,000 credit limit, the cost is $950.
- Highest price: The most expensive option is a Bank of America credit card, opened in 2003, with a $42,500 credit limit, priced at $1,782.50.
Tradeline Supply Company earns a commission ranging from $50 to $350 for each authorized user (AU) spot that is sold. The specific commission amount is determined by factors such as the age of the credit card and its credit limit. Generally, older credit cards with higher credit limits command a higher commission.
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Company Overview
Tradeline Supply Company LLC, is a California-based, for-profit, private business that was founded in 2017 by David Melincoe. According to the California Secretary of State, the company is actively registered and in good standing in the state.
Melincoe, the company’s current CEO, and leads alongside Dustin Baly, the standing CMO. With Melincoe being a process server before this and Baly an SEO expert, I wouldn’t say the company has the strongest leadership. However, I don’t see any major red flags here.
They have too few employees to have much of a presence on Glassdoor, so I can’t speak to what employees think of the company (though I wish I could).
Still, their customers seem to be very satisfied, as apparent by their 4.5-star rating on Trustpilot. What people seem to love about Tradeline Supply Company is their standout customer service and responsiveness, with knowledgeable representatives to help quickly. However, some customers have experienced frustration when tradelines didn’t post as expected.
Meanwhile, they maintain a 4.75-star rating and A+ rating with the Better Business Bureau (BBB). This may not sound that impressive, but Tradeline Supply Company has only had two BBB complaints in the past year—many if not most of the financial companies I review are dealing with hundreds of complaints per year.
I didn’t find any past or present lawsuits against the company, which indicates that they’re following all applicable laws.
However, their website isn’t super transparent about the process of buying or selling tradelines. You would almost have to get into the platform and buy or sell one yourself to fully-understand how it works. I don’t really love this.
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Do Tradelines Really Work?
Buying and selling tradelines is a concept that’s based on the idea of becoming an authorized user on someone else’s credit account. The only difference is that when we say “buying tradelines,” we’re usually talking about getting listed on a stranger’s account in exchange for a sum.
Becoming an authorized user is approved – even promoted – by major credit bureaus.
Alongside other tactics like secured credit cards and getting the bills you already pay reported to credit bureaus, Equifax recommends becoming an authorized user to build credit. So, yeah, it can work.
With that said, I don’t think the credit bureau is exactly encouraging you to go buy a tradeline from a stranger. In fact, Experian advises against it.
Plus, if it were completely above-water, credit card companies wouldn’t close accounts when they suspect that you’re participating in a scheme like this—and many of them do.
With that said, in the right circumstances, adding your name to a credit account with a high limit and low utilization can have a major impact on your credit score.
Here’s when becoming an authorized user can help:
- You have no credit history, and a new credit card on your report can establish your credit for the first time.
- When the untapped account limit can move the needle to bring your overall utilization down below 30% to bump up your score.
- If adding an older account can increase your average age of credit.
Otherwise, it’s not going to do much for your credit score.
I recommend taking a peek at myFICO’s credit score guide to get a complete understanding of consumer credit scores before you take any credit building action.
And, don’t forget that when you purchase a tradeline, you rely on a complete stranger not to spend money on their own credit card. If they do, and you are an authorized user on their account, you could see a negative impact on your credit score; this is known to happen.
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Tradeline Supply Company Features
To stay in business, Tradeline Supply company needs to be committed to a reliable, customer-centric experience. While I think they could use more transparency and details about the process on the front-end, they offer several features that are worth exploring.
1. Wide Selection of Tradelines
Tradeline Supply Company offers a diverse selection of tradelines, including options with different credit limits, ages, and credit card issuers. This variety allows customers to choose tradelines that best suit their credit improvement goals and budget.
They offer cards from:
- Discover
- Barclays
- CP1
- Chase
- Bank of America
- Elan
The credit age for accounts on the platform range from one year to 20+; this is great because age of credit can have an enormous impact on the ability to take out certain types of loans. Credit limits range from $1K to upwards of $50K, which can have a major impact on utilization.
In sum, they offer quite a variety of cards.
2. Transparent and Convenient Purchase Process
Customers benefit from transparent pricing, with clear costs associated with each tradeline option displayed upfront on the website. This transparency helps customers make informed decisions based on their financial needs and preferences.
Tradeline Supply Company simplifies the tradeline purchasing process through an automated online platform. Customers can browse available tradelines, select their preferred options, and complete transactions conveniently and securely online.
3. Educational Resources
In addition to providing tradelines, Tradeline Supply Company aims to provide financial education.
The advertises offers free resources and tools to help you:
- Understand credit concepts
- Manage finances effectively
- Make informed decisions about credit improvement strategies
Now, as far as I can tell, the only resource they offer outright is their blog—However, it’s not nothing.
The specific topics include:
- Broker Partner Resources
- Business Credit
- Company News
- Credit Cards
- Credit Countdown Videos
- Credit Partner Resources
- Credit Repair & Credit Score Information
- Guest Articles by Credit Expert John Ulzheimer
- Infographics
- Legal & Ethical Topics
- Loans
- Personal Finance
- Tradeline Resources
Their posts provide information and insights into these areas to help individuals and businesses make informed financial decisions and navigate the credit landscape.
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4. Responsive Customer Service
Customers receive responsive and personalized customer service from knowledgeable representatives. The team assists customers throughout the tradeline process, addressing inquiries and ensuring a smooth experience.
For the most part, online reviewers are raving about the support they receive when they reach out to Tradeline Supply Company.
5. Guarantee and Refund Policy
Tradeline Supply Company stands behind its tradelines with a guarantee and refund policy.
TSC ensures the following guarantees:
- Tradelines will post to at least two out of three major credit bureaus.
- Tradelines will exhibit a flawless payment history with no late payments.
- The utilization ratio on the tradelines will always be 15% or lower.
- Authorized user status will remain active on the card for a minimum of two monthly reporting cycles.
It’s your responsibility to report any non-postings within 21 days.
And, if a tradeline fails to post as expected or meet customer satisfaction, the company promises to offer refunds or exchanges—this is a nice gesture, and it shows that they must do their due diligence in recruiting tradeline sellers.
6. Security and Privacy Measures
The company prioritizes the security and privacy of customer information.
Tradeline Supply Company employs a range of security measures to safeguard personal information, including:
- Utilizing computer safeguards
- Employing encrypted storage methods
- Implementing robust data security measures
- Having breach protocols in place
- Using secured files and buildings
- Employing an advanced identity and social security number verification system
With this said, Tradeline Supply Company sellers need access to buyers’ Social Security numbers and driver’s license documents to verify identity and prevent fraud. So, again, you are paying to list yourself on a stranger’s credit card – there are risks involved.
Still, the company does what it can to mitigate risks—they partner with third-party verification firms to cross-check buyers’ and sellers’ identifying information. And, they’re committed to cooperating fully with law enforcement to prosecute anyone engaged in fraudulent activities.
Frequently Asked Questions
How much will a tradeline boost your credit?
The credit boost from a tradeline varies based on your unique credit profile and the tradeline’s characteristics. Results can differ widely.
How many tradelines should you have to build credit?
There isn’t a set number of tradelines needed. Having a mix of credit types, low utilization, and managing credit responsibly over time is key.
How long does it take a tradeline to hit your credit?
It can take a few weeks to a couple of months for a tradeline to appear on your credit report and impact your score. It depends on when your name is added to the account and when the creditor reports to the bureaus.
How long does Tradeline Supply last?
Tradeline durations vary, typically lasting from 60 to 90 days or longer based on the agreement between the original account holder and the authorized user.
Conclusion: Is Tradeline Supply Company Legit?
Tradeline Supply Company is an established, legitimate business that offers a service that is completely legal. But, the results aren’t guaranteed.
Think of it like ebay for credit card accounts – it’s more about whether or not you can trust buyers and sellers than whether you can trust the platform itself.
And, the product…well, enter at your own risk.
Buying and selling tradelines certainly comes with a set of potential downsides. Meanwhile, the possible payoff could be just what you need to get your credit established or decrease your credit utilization to boost your score and make your next big move.
Do you want to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!