Few credit card issuers offer joint credit cards. If you want to share a credit card with your spouse, one of you will need to be the primary account holder, and the other will be an authorized user. If you pool your money together and both manage money responsibly, doing this will not be an issue. However, if you have separate finances or are not equally financially responsible, you’ll want to understand the ramifications of adding your spouse to your credit card account.
5 Things to Consider Before Adding Your Spouse to Your Credit Card Account
Adding your spouse to your credit card account has positives and potential negatives.
Easier Money Management
Sharing a credit card may make money management easier if you and your spouse combine finances and have similar spending styles because you only have one credit card to check and reconcile. In addition, you can see at a glance what your credit card balance is rather than having to check several cards, some of which you may not have access to if they’re in your spouse’s name.
You’ll Earn Rewards Quicker
Sharing a credit card is a great way to increase your reward points. Rather than splitting your efforts over two separate credit cards, you will use the same card. Therefore, all your spending goes toward one rewards program.
For instance, I have three credit cards, and my husband is an authorized user of all of them. So, every quarter, I look up what purchase categories will earn five percent cashback for each card, and then I let him know which credit cards to use for groceries, gas, and eating out. By working together this way, we can maximize our credit card rewards.
You’re Financially Responsible
A potential drawback of adding your spouse as an authorized user is that you’re financially responsible for all purchases your spouse makes. If he’s trustworthy and you’re on the same page financially, this is not a problem. However, if your spouse is irresponsible with money, you could have to pay back thousands of dollars you did not charge.
You’ll Have to Pay If You Get Divorced
Likewise, if you get divorced, you are responsible for everything she charged during the marriage. Why? Because you are the account holder.
Both of Your Credit Is Affected
Adding your spouse as an authorized user on your card affects each of your credit scores, either positively or negatively. For instance, if you have a high credit score, your spouse will “inherit” that score by being a user on your card. However, the same can be said if you have a low credit score. (Be advised that not all credit card companies report authorized users to the credit bureaus. So, your spouse may not be affected by your credit score in this case.)
Final Thoughts
If you trust your spouse, have a solid relationship, and know she is responsible financially, you should feel comfortable adding her as an authorized user. On the other hand, if you can’t say yes to any of the three requirements, you should avoid adding your spouse to your credit card.
Read More
How to Safeguard Your Savings from a Financially Irresponsible Spouse
4 Things to Know Before Signing Up for a Joint Credit Card
Worst Ways to Expose Yourself to Credit Card Fraud
What Happens to Unused Cashback Accounts?
Melissa Batai
Melissa is a writer and virtual assistant. She earned her Master’s from Southern Illinois University, and her Bachelor’s in English from the University of Michigan. When she’s not working, you can find her reading a good book, cooking, or traveling. She resides in New York where she loves the natural beauty of the area.
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