My mom opened a credit card in my name to help me build credit — then maxed it out, leaving a $40,000 balance. What now?

Angie, a 22-year-old college graduate, had a $40,000 credit card balance she never agreed to, despite her mom's intention to help her build credit. Angie's mom added her as an authorized user on the card when she was 16, figuring it would give her a head start on building credit. However, the unpaid balance has significantly damaged Angie's credit score, making it difficult for her to rent her first apartment.

Being an authorized user on a credit card can have unintended consequences, as the account's activity, good or bad, can impact the authorized user's credit score. While Angie is not legally responsible for the debt, her mom is, along with any late fees. If Angie's mom fails to pay down the debt, Angie could face a lower credit score and potential contact from collection agencies.

To mitigate the damage, Angie could consider removing herself as an authorized user on the card. This process involves contacting the credit card company directly to request removal, either by phone, mail, or online. Once removed, Angie should verify that the account has been taken off her credit report. Alternatively, she could choose to stop using the card entirely while remaining an authorized user, preserving the account's age and positive payment history without exposing herself to further charges.