How Old Does an Authorized User Have to Be on a Credit Card?
Learn the minimum age for authorized credit card users and how their activity shapes financial futures.
Credit card authorized users often spark questions regarding their age and the permissions they hold. This article clarifies the minimum age requirements and responsibilities associated with this status, providing helpful guidelines for both primary cardholders and those who might be added to an account.
Understanding Authorized Users
An authorized user is an individual granted permission by a primary credit card account holder to use their credit card account. They typically receive a physical card with their name on it, enabling them to make purchases. While authorized users can spend on the account, they are not legally responsible for the debt incurred. The primary cardholder retains full legal and financial responsibility for all charges made, regardless of who made them.
This arrangement differs significantly from a joint account holder or a co-signer. Joint account holders share equal legal and financial responsibility for the debt with the other account holder, and both typically undergo a credit check when the account is opened. A co-signer also shares legal responsibility for the debt if the primary cardholder defaults. Authorized users, however, cannot make changes to the account, such as closing it, requesting credit limit increases, or adding other authorized users.
Age Requirements for Authorized Users
The minimum age for an authorized user on a credit card account varies by issuer, but it is generally more flexible than the age required to open a primary account. Many major credit card issuers allow authorized users as young as 13 years old. Some issuers may set the minimum age at 16 or 18, while others might not specify any age requirement at all.
This flexibility allows primary cardholders, often parents, to add younger individuals to their accounts. The primary cardholder takes on the full legal responsibility for all transactions made by the authorized user. The Credit Card Accountability Responsibility and Disclosure (CARD) Act of 2009 primarily addresses requirements for individuals opening their own credit card accounts. For authorized users, the age limits are determined by the individual card issuer’s policies.
Impact of Authorized User Status
Being an authorized user can influence an individual’s credit history if the credit card issuer reports authorized user activity to the major credit bureaus. If the primary account is managed responsibly with on-time payments and low credit utilization, the authorized user’s credit score can benefit. Conversely, if the primary cardholder makes late payments or carries high balances, it could negatively affect the authorized user’s credit report.
The primary cardholder remains solely responsible for all charges on the account, including those made by the authorized user. This financial responsibility extends to making all payments and managing the account to prevent any negative impact on their own credit standing. Adding an authorized user can serve as a tool for teaching financial responsibility and establishing a credit history for someone new to credit.
Adding and Managing Authorized Users
The process for adding an authorized user typically involves the primary cardholder contacting their credit card issuer. This can often be done online, through a mobile app, or by phone. The primary cardholder will usually need to provide basic information about the authorized user, such as their full legal name, date of birth, and sometimes their email address or phone number. Some issuers may also request a Social Security number for the authorized user.
Once added, the primary cardholder can often monitor the authorized user’s spending through online account features. Managing the account also includes the ability to remove an authorized user. This process is generally straightforward and can be completed by contacting the credit card issuer directly. Upon removal, the authorized user’s access to the account is terminated, and the account activity may no longer appear on their credit report, which could impact their credit history if it was their only or longest-standing credit line.