A trade line is simply a debt or you can say renting which the borrower can only access temporarily. It depends on the creditor’s credentials, the amount details, and other account details. The trade lines are provided to the credit reporting agencies along with the details and it is not necessary for a single account to only have a single trade line, there can be multiple trade lines attached with the single account. Numerous institutions offer credit card seasoned tradelines for sale and as an investor, one can really make a profit out of it. The world runs on credit, if you bought a new phone, you put it on credit, if you bought a couch, you put it on credit and for buying a house, you will require a good credit. Maintaining a good credit is necessary else you will be paying extra interest on stuff for which you could have paid less if you had good credit. This is where one can make money by selling credit trade lines.
If you have poor credit, then you will have to pay the credit boosting institution some amount, let us assume $500. And you will be paired with another person with poor credits by the company as a middleman.
The credit boosting institution based on your credit limit and credit age will pay you the amount. However, you will not be getting the $500 you paid but somewhere between $50 and $400 can be availed, but it also will depend on the type of your trade line.
Thus, it works in such a way that the additional person added to the procedure will be added to your credit card.
However, that individual who was added to your credit card as an authorized user will not have the power to access your money. On the other hand, you will be required to do some spending on your new credit card which you will receive via mail.
It is not illegal to sell tradelines, but it is against most of the financial institution’s credit card terms and conditions. Thus, it is advised to not disclose it to your banking institution.