What will happen if I sign up for a credit card and let my family member use it instead? - Seedly
 

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MileLion

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Asked by Anonymous

Asked on 17 Jan 2020

What will happen if I sign up for a credit card and let my family member use it instead?

My family member can't sign up for a new credit card due to self-employed status. Can I sign up for one and let him use it? or do I have to sign up for a supplementary card?

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There's actually no issue with that, but I would be around to physically swipe the card so that I know what's going on it. And of course he has to pay me back the money.

My brother (who is still studying) recent bought a new phone because the old one was dying. I could have gotten a supp card for him but chose not to, in case he lost it or something. So I was around to swipe the card when he bought his new phone, and took back the card there after. A little hassle of course, but nothing too major. In time to come, he will get his own card and I will pull him to the miles camp.

Then again, I'm probably more guarded that other when it comes to such matters. To me, having a supp card still means that I have to pay whatever is put on the supp card, and the last thing I need is a bill shock.

For a self employed, a credit card can still be obtained with a pledged collateral. So try going down that route first.

2 comments

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Question Poster

3w ago

I’m intending on getting the card just for him so that he can use the card and make him foot the bill with his own money. Will this be an issue?
Elijah Lee
Elijah Lee

3w ago

Hi QP, you mean as a supp card? Short of making him transfer you money everytime a purchase is done on the card, you are still the responsible party when it comes to the bill.
Aik Kai
Aik Kai
Level 7. Grand Master
Answered on 20 Jan 2020

In theory, this is fine and okay. But in reality, a move that will raise lots of questions.

If you let another person use your credit card, even though you know fully that he/she is using it, when shit happens, banks and maybe the police will suspect fraud and the whole process of explaining is not worth the effort.

The best is just sign up a supplementary card for him/her. Save the trouble.

1 comment

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Question Poster

20 Jan 2020

Thanks a lot!
pat
pat
Level 7. Grand Master
Answered 3w ago

Legally, it is not allowed.

However, we can print whatever name we want on the card, so you can tell the cashier that that is your card name. The police will come in if the original card owner make a report.

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Boon Ming
Boon Ming
Level 5. Genius
Answered 3w ago

There should be no problem but it could attract some technical problems.

The cashier has the right to verify the owner (although many many times they no longer do that unless there's a fraud or something recently in that shop).

more Troubles if you let someone used your card overseas and issues arises then it might be even headache

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CS
Chan seng hoong
Level 6. Master
Answered 3w ago

I dont think there is any issues. Because the credit risk in the event of default is undertaken by you too. To the credit card company, they do not see any change in credit risk which is detrimental to them. As mentioned by some in this group, you can also consider giving that individual a supplementary card.

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BA
Barry Allen
Level 6. Master
Answered 3w ago

You can either sign him up for a supplementary card and put a safe limit on his spending (because you'll still be liable for the bill) or allow him to add your main card to Apple/ Android pay.

I don't encourage him to spend using your physical main card in case the store checks to see if he's the cardholder and finds that his name doesn't match the name on card.

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Wilson Nid A Break
Wilson Nid A Break
Level 8. Wizard
Answered on 17 Jan 2020

Yes, you can. you will also earn points from the spending of the card. But best you put a spending limit on that card to avoid over-spending

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You may wish to consider applying a supplementary caard for your family member to this end.

Here is everything about me and what I do best.

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