Power of attorney and credit card (complicated)

What is the name of your state? MI

My father was incarcerated last year on criminal charges in MI. I am his power of attorney during his trial process because he can not be contacted to manage daily affairs.

This is my complicated situation . Back in 1992 My father placed me as a authorized user on his credit card. As a result this card shows on my credit report. The payments are all on time. But because of his legal fees I can no longer pay this card with his funds.

Since this is on my credit report it will ruin my credit too. The credit card company refuses to remove me as an authorized user without speaking directly too my Dad which is not possible. I informed them I have power of attorney and they requested that I send them the documents.

So here is my question. If I send them POA documents to get authority to remove my authorized use status on his account, do I then become liable for the debt owed on that account? It is my understanding that neither an authorized user nor a POA is liable for the debt on the card holders account but I just want to be sure.

FYI - I do know the credit reporting agencies are getting rid of the authorized use accounts on credit reports but it will not happen until next year for 2 of the big 3 and I may be buying a house before the end of the year.

Your help is greatly apprechiated.

Are you saying your father can not accept phone calls in prison? This is a bit unbelievable. If he can't call the credit card company or if they can't reach him, you need to get him to send them and you a notarized letter authorizing them to remove you as an authorized user.

Dandy Don said:

Are you saying your father can not accept phone calls in prison? This is a bit unbelievable. If he can't call the credit card company or if they can't reach him, you need to get him to send them and you a notarized letter authorizing them to remove you as an authorized user.

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Thanks for the reply. You can not call him. This is my family's first experience with a jail so I don't know if that is normal. Also he can only make collect calls at about $1.00 a minute. The credit card company will not accept them.

I will work on the notarized letter. But even with that there is no way for me to find out if it will succeed. The credit card company will not give me any information on the account. They will only work with my father directly. I want to know for sure it is off the account.

If you are truly only an "authorized user" instead of a "co-applicant", then you should have no liability, and this should not be reported on your credit report.

tholt4 said:

If you are truly only an "authorized user" instead of a "co-applicant", then you should have no liability, and this should not be reported on your credit report.

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This is half true. As an authorized user you are not liable for payment of debt but it does however go on your credit report. There are several resources on the web that will verify this.

The credit agencies are going to change this rule. But only one of the three is going to stop the practice of including authorized user accounts on your credit report in September. The other 2 have said "some time" next year.

The abuse was basically if you have bad credit I can put you as an authorized user on my account and boost your credit score overnight. The reverse was true if you dislike someone.