You’re likely here because you’re interested in purchasing tradelines, or you just learned that they exist. Regardless, you’re likely wondering whether or not buying tradelines is legal.
The short answer is that buying tradelines is totally legal unless it is done unethically. If purchased unethically, they are illegal.
Of course, that answer can be slightly confusing. Tradelines in themselves are very simple tools. However, the way in which you sort out a business deal to buy them can be complex.
Rest assured, one of our main goals here at Personal Tradelines is to help you have the safest and most seamless tradeline buying experience possible. Let’s dive in and learn more about them.
A Brief Tradeline History
We understand that discussing tradeline legality can make things a bit confusing if you don’t totally understand tradelines in general.
Tradelines are accounts that appear on your credit report. They show credit bureaus how you treat credit.
For example, a tradeline can tell a credit bureau if you make your minimum payments on time, whether or not you have a desirable credit ratio, and how significant the loans are that you get issued by lenders.
In the tradeline business, people have the ability to exchange, share, buy, and sell account ownership. When done within legal boundaries, people can become authorized users on an existing account to maintain or increase their score.
However, there are some companies that are fraudulent, which you must look out for as a consumer.
The question then becomes,
How do you legally participate in the tradeline business?
The Legality of Tradelines
The Fair Isaac Corporation complained that people were abusing the authorized user tradeline system back in 2008. However, when it was brought to Congress, they disagreed, noting that denying people to become authorized users was, in fact, a form of discrimination.
This opinion was wrapped up in what would become the Equal Credit Opportunity Act. The decision reinforced the legality that someone could become an authorized user on another person’s existing credit account. When they used their name on another account, they could reap the benefits of that tradeline.
This means that when you become an authorized user on an account that is in good standing, meaning it has a positive history of on-time payments, a long history, no defaults, etc., you can benefit from it.
Final Thoughts – Finding Legitimate Authorized User Tradelines
There is no doubt that the tradeline industry is controversial, though a lot of it has to do with the fact that credit bureaus are long outdated and need to reform their scoring models.
If you’re interested in learning more about how tradelines work and how they might be able to help you reach your financial goals, make sure to get in touch with us here at Personal Tradelines.
Our goal is to help people boost their credit scores using a seamless and effective tradeline buying process. We look forward to hearing from you.
