How to Add Someone as an Authorized User

Adding someone as an authorized user on a credit card account can be a practical financial move, offering benefits for both the primary cardholder and the individual being added. An authorized user can make purchases using a card linked to the primary account, without holding legal responsibility for the debt. Individuals often choose to add an authorized user for reasons such as managing household expenses more efficiently or assisting a family member in establishing or building their credit history. This setup provides a way for someone to gain experience with credit usage under the oversight of a primary account holder.

Preparing to Add an Authorized User

Before proceeding with adding an authorized user, the primary cardholder must understand their ongoing financial obligations. The primary cardholder retains sole legal responsibility for all charges made on the account, including those incurred by an authorized user. This means that if an authorized user makes purchases and does not reimburse the primary cardholder, the cardholder is still obligated to pay the full balance to the credit card issuer.

An authorized user can make purchases and may receive their own physical card. However, their access to account management functions is limited. Authorized users cannot access account statements, change account details like the billing address or credit limit, or close the account. They also cannot redeem rewards or add other authorized users.

Being an authorized user can significantly affect the authorized user’s credit profile. If the primary cardholder manages the account responsibly, making on-time payments and maintaining a low credit utilization ratio, this positive activity can be reported to credit bureaus and help the authorized user build or improve their credit score. Conversely, if the primary cardholder misses payments or the account carries high balances, this negative activity can also reflect on the authorized user’s credit report, potentially lowering their score. The primary cardholder’s credit utilization may also increase if the authorized user’s spending leads to a higher overall balance on the account.

To add an authorized user, the primary cardholder will need to provide specific personal information for the individual. This typically includes their full legal name, date of birth, and physical address. In many cases, the credit card issuer may also request the authorized user’s Social Security Number (SSN) for identification and reporting purposes.

The Process of Adding an Authorized User

Once the primary cardholder has considered all implications and gathered the necessary information, they can initiate the process of adding an authorized user. Credit card issuers offer several methods: online banking portals, phone calls to customer service, or mailing a physical form. The specific steps may vary slightly depending on the financial institution.

To add an authorized user online, the primary cardholder navigates to a section within their online banking portal. Within this section, there will be prompts to enter the authorized user’s personal details, including their name, date of birth, address, and potentially their Social Security Number, into designated fields. After inputting the required information, the primary cardholder usually reviews and submits the request electronically.

If adding an authorized user via phone, the primary cardholder should call the customer service number located on the back of their credit card. During the call, a representative will guide them through the process, requesting the necessary personal details for the authorized user. Having the authorized user’s full name, date of birth, address, and SSN ready expedites the process.

In some cases, a physical form might be required or offered as an alternative. If this is the case, the primary cardholder would typically obtain the form from the issuer’s website or by request, complete it with the authorized user’s information, and then mail it to the specified address. This method is less common for immediate additions but remains an option.

After Adding an Authorized User

After approval, the authorized user’s credit card typically arrives in the mail. This usually occurs within 7 to 10 business days. The card may be sent to the primary cardholder’s address, who can then provide it to the authorized user, or in some instances, it may be mailed directly to the authorized user’s address.

Primary cardholders can monitor the authorized user’s spending activity through various means provided by their credit card issuer. This often includes reviewing online account statements, setting up transaction alerts, or using mobile banking applications. Some issuers may provide detailed statements that itemize transactions by user.

While not universally available, some credit card issuers allow primary cardholders to set specific spending limits for authorized users. This feature provides an additional layer of control, helping to manage the authorized user’s expenditures and prevent overspending. If this option is not available, primary cardholders can often lock or unlock an authorized user’s card through their online account or mobile app.

Removing an authorized user from an account is a straightforward process. The primary cardholder can typically remove an authorized user by contacting the credit card issuer’s customer service via phone or through their online portal. This action deactivates the authorized user’s card and removes their access to the account.