Minnesota woman finds $17K debt on her credit report from a company card. Dave Ramsey says it happens ‘all the time’ — and tells her to do this ASAP

But when they applied for a mortgage, they were shocked to find a $17,000 debt listed on Amy’s credit report. The debt came from a credit card company she had access to as a secretary at a small accounting firm. Amy had been added as an authorized user to book travel, not to borrow money.

When Dave Ramsey heard her story, he was outraged on her behalf. "This is ridiculous. This should not be on your report," he said.

He advised Amy to tell her employer to remove her from the account immediately. "Shut it down. Shut down the account, or shut your name down off the account," he said.

What to know about authorized user accounts

Authorized user accounts can appear on your credit report, even if the debt isn’t legally yours. While you’re generally not liable for this balance, the account’s activity — especially high balances or missed payments — can affect your credit score.

There are several reasons someone might be added as an authorized user:

• Like Amy, you may need access to a company card to make purchases for work.

• Parents often add teens or college students to their accounts to provide emergency access to funds.

• For younger users, being added to a well-managed account can help build positive credit history.

So, being an authorized user isn’t always a bad thing. But it becomes a problem when debt from that account negatively impacts your credit, even though you’re not the primary account holder.

"It's not legal, but they do it all the time," Ramsey said, referring to how these debts can wrongly affect credit reports.

According to the Consumer Financial Protection Bureau (CFPB), being an authorized user does not make you legally responsible for the debt. [2]

It also says credit card companies are supposed to report your status as an authorized user — not as someone liable for repayment. Any debt tied to that account should not be treated as your personal debt on your credit report.

How to protect yourself from credit report errors

Finding a debt on your credit card report that doesn’t belong to you is more common than you might think.

A 2024 report by Consumer Reports and WorkMoney found that nearly 50% of people who checked their credit reports found a mistake, and more than 25% discovered an error that could hurt their credit score. [3]

If you see a debt tied to an account where you’re an authorized user, you should dispute it immediately. Contact the credit bureau reporting that debt and explain in writing you’re only an authorized user and not liable for the debt. Include supporting information, such as a letter from your employer or a copy of the credit card agreement. The credit bureau is required to respond within 30 days. [4]

If you're issued a company credit card, confirm with your employer that you're only being added an authorized user, not a joint account holder.

Ask for a copy of the credit card agreement showing the account is in the company's name — not yours. If problems arise, request to be removed from the account and send confirmation of the removal to the credit bureau to support your dispute.

A significant debt incorrectly listed on your report can hurt your credit score — especially if it affects your credit utilization, which makes up 30% of your FICO score. Credit utilization refers to the amount of revolving credit you’re using compared to your total credit limit. [5]

If a company card’s balance is wrongly added to your report, it could inflate your utilization rate and lower your score. That’s why it’s essential to ensure you’re properly listed as an authorized user — and to take quick action if an error appears.

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