What it means to be an authorized user
An authorized user is someone the cardholder adds to their account who can use the card to make purchases, but does not own the account or bear legal responsibility for the debt. The primary cardholder remains liable for all charges, whether they made them or the authorized user did. The card issuer sends statements to the primary cardholder only, and only the primary cardholder can change the account terms, add or remove users, or make payments.
Being an authorized user is different from being a joint account holder. A joint holder shares ownership and legal responsibility for the debt. An authorized user has spending access but no ownership stake and no obligation to pay.
The primary cardholder can set limits on what an authorized user can spend, though not all card issuers offer this feature. Some cards allow the primary holder to set a daily or monthly cap; others do not. The primary cardholder can remove an authorized user at any time without notice to that user.
Key Takeaways
- An authorized user can make purchases with the card but does not own the account or owe the debt — the primary cardholder is legally responsible for all charges.
- The credit card company reports the account history to the authorized user's credit report, which can help or hurt their credit score depending on how the account is managed.
- The primary cardholder can remove an authorized user at any time, and this removal may cause the authorized user's credit score to drop if the account had a positive payment history.
- Some card issuers allow the primary cardholder to set spending limits for authorized users, but not all cards offer this feature.
- Being added as an authorized user does not require a credit check or a formal agreement from the authorized user.
How authorized user status affects credit reports
Most credit card issuers report authorized user accounts to the credit bureaus (Equifax, Experian, and TransUnion) in the authorized user's name. This means the account's payment history, credit limit, and balance appear on the authorized user's credit report, even though they do not own the account.
If the primary cardholder pays on time and keeps the balance low, the authorized user's credit score may improve. A longer account history and a higher available credit limit can both help a credit score. However, if the primary cardholder misses payments or carries a high balance, the authorized user's credit score can be damaged by the same account.
Not all card issuers report authorized user accounts to the credit bureaus. Some report to all three bureaus, some report to only one or two, and a small number do not report at all. The cardholder should check with their issuer before adding an authorized user if credit reporting is the goal.
When the primary cardholder removes an authorized user
The primary cardholder can remove an authorized user at any time by calling the card issuer or making the change online. The authorized user does not have to consent, and the issuer does not notify the authorized user in advance. The authorized user straightforward loses access to the card.
If the account was reported to the credit bureaus, removal of the authorized user may cause their credit score to drop. The account will no longer appear on their credit report, which means they lose the benefit of that account's payment history and available credit. The drop is usually temporary — the score typically recovers within a few months as other accounts and payment history remain on the report.
The primary cardholder remains liable for any charges made before the removal, even if the authorized user made them. Removing an authorized user does not cancel charges or transfer debt.
Adding someone as an authorized user
The primary cardholder can add an authorized user by calling the card issuer or using the issuer's website or mobile app. Most issuers ask for the authorized user's full name, date of birth, and sometimes their Social Security number, though not all require the SSN. The process typically takes a few minutes.
The card issuer does not run a credit check on the authorized user. The primary cardholder's credit and account history are what matter — the authorized user's credit score and payment history do not affect whether they can be added.
The primary cardholder does not need the authorized user's permission to add them to the account. In practice, most cardholders discuss it first, but legally the primary holder can add someone without their knowledge. The authorized user will find out when the card arrives in the mail or when they see the account on their credit report.
Authorized users versus joint account holders
A joint account holder is a co-owner of the credit card account. Both the primary holder and the joint holder are legally responsible for all debt on the account. Either one can make charges, and either one can be sued for unpaid balances. Both names appear on the account, and both receive statements.
An authorized user has no legal responsibility for the debt. If the primary cardholder does not pay, the authorized user cannot be held liable. The primary cardholder can remove an authorized user unilaterally; removing a joint holder usually requires both parties to agree or involves closing the account.
Becoming a joint account holder typically requires a credit check and a formal process. Adding an authorized user does not. If someone wants to build credit or needs access to a card without taking on debt responsibility, authorized user status is the right choice. If two people want to share ownership and responsibility for an account, a joint account is more appropriate.
Risks and considerations for authorized users
An authorized user has no control over the account. The primary cardholder decides how much to charge, when to pay, and what the balance will be. If the primary cardholder misses payments or runs up a high balance, the authorized user's credit score suffers even though they had no say in those decisions.
An authorized user cannot dispute charges or make changes to the account. If there is a problem with a charge or the account, the authorized user must ask the primary cardholder to handle it. If the primary cardholder refuses or is unreachable, the authorized user has limited recourse.
An authorized user can be removed without warning. If the primary cardholder removes them, the card stops working when ready. If the account was helping their credit score, removal can cause a temporary drop. There is no contract or agreement protecting the authorized user's status.
For these reasons, authorized user status works best when there is a strong relationship of trust between the primary cardholder and the authorized user — typically a spouse, parent, or adult child.
When authorized user status makes sense
Parents sometimes add adult children as authorized users to help them build credit history. If the parent has a long account history with on-time payments and a low balance, the child's credit score may improve by being added. This can help the child later when they explore for their own credit card or loan.
A spouse might be added as an authorized user so they can access the account for household expenses without being a joint holder. This gives them spending access while keeping the primary cardholder as the sole owner and decision-maker.
A business owner might add an employee as an authorized user on a business credit card so the employee can make work-related purchases. The business owner remains responsible for all charges.
In each case, the key is that the primary cardholder trusts the authorized user to use the card responsibly, or the primary cardholder is willing to monitor the account closely and remove the user if needed.
Frequently Asked Questions
Does being an authorized user hurt my credit score?
No, being added as an authorized user does not hurt your credit score. The account appears on your credit report, and if the primary cardholder pays on time and keeps the balance low, it helps your score. If the primary cardholder misses payments or carries a high balance, it can lower your score — but the addition itself does not cause harm.
Can an authorized user make payments on the card?
Most card issuers do not allow authorized users to make payments. Only the primary cardholder can access the payment system. If an authorized user wants to pay toward the balance, they must give money to the primary cardholder, who then makes the payment.
What happens to an authorized user's credit if the primary cardholder stops paying?
The missed payments appear on the authorized user's credit report and lower their credit score, just as they lower the primary cardholder's score. The authorized user is not legally responsible for the debt, but the account history still affects their credit. This is one reason authorized user status works best with someone you trust.
Can I remove myself as an authorized user?
You cannot remove yourself directly. You must ask the primary cardholder to remove you. If they refuse or are unreachable, you can contact the card issuer and ask them to remove you, though some issuers require the primary cardholder's permission. Check your card's terms or call the issuer to learn their policy.
Do I need a Social Security number to be added as an authorized user?
Most card issuers ask for your Social Security number when you are added as an authorized user, but not all require it. Some issuers will add you with just your name and date of birth. Ask the primary cardholder to check with their issuer about what information is needed before they add you.