Credit card benefits are abundant. Along with enabling you to raise funds for a large expenditure, it also offers you the benefits of rewards and points for every purchase you make. It literally accolades you for shopping. Getting a credit card is not a difficult task for those who have a steady source of income and a valid credit history. This can be paid employees, self-employed professionals or even businessmen. They are often given a card without much fuss but the problem arises for people who have no steady source of income or has an income that has very less formal value, for example, giving tuitions. People like house-wives, adult students or young people looking for jobs have a hard time securing a credit card for themselves and are deprived of its benefits. In such a situation, the individuals concerned with this predicament can in certain ways make use of a credit card that belongs to someone in his/her family like a father, mother, husband or wife with an add on credit card. Find out about credit cards online and get yourself the one that suits you the best.
Add on credit cards are cards issued against the primary credit card. These are additional cards that are linked to the primary credit card and can be used as a supplementary one.
Introducing Add on Credit Cards
How Does It Work
A person having a primary credit card can apply for add on credit cards for his family members. They will share the same account and the activities of the secondary cards can be traced by the primary cardholder. The credit card benefits availed by the primary credit card will be extended to the secondary credit cards as well.
Costing
Since the secondary cards are linked with the primary card, you do not have to pay any joining fee or annual fee with some exceptions. Although there are exceptions in the form of some minimal joining and annual fee, they are generally much lower than the fee of the primary credit card.
Who Can Avail It
Add on credit cards are basically for immediate families like spouse, children and parents. In some cases, it may be extended to in-laws (parents-in-law, brother/sister-in-law, daughter/son-in-law). In any case, the member has to be above 18 years of age.
Credit Limit
Primary and secondary cards share the same credit card benefits and also equal credit limit. You can use your add on credit card up to a limit that is on the primary card account.
Credit Score
If there is any delay in the payment of any secondary cards, it would reflect in the bills and subsequently affect the credit score of the primary cardholder. Therefore it is important for the primary cardholder to keep a tab on the activities of the secondary cards.
How to Apply for Add-on Credit Card
To begin with, visit your bank’s website and carefully read the terms for availing add on credit cards. Fill out the required form after tallying the eligibility requirements. In order to apply for an add-on credit card, a few very basic documents are required:
- Application form
- ● A valid identity proof (Aadhaar, driving license, passport, ration card or any other government recognized ID card)
- PAN card
- Address proof
- Valid date of birth proof
- A passport size recent photograph
Benefits of Add-on Credit Cards
Add on credit cards give its users great benefits. Source:bank.caknowledge.com
- The add on credit cardholders share the same rate at which reward points are given to the primary cardholder. The criteria like minimum amount, redeeming conditions, etc. remain the same.
- Several people can enjoy the credit card benefits on multiple cards without having to pay annual and joining fees for each of those cards.
- It is a great way to make teenagers responsible for money and trains them practically for financial management. Their introduction with credit must come with an instilled sense of duty. An adult can track his monetary activities besides entrusting them with a sense of responsibility. Keeping a check on the expenses is very vital or an unchecked spending habit will turn into a vice. If regulated well, it can make them wiser and help in money management later when they will have their own credit cards. Precisely these habits prevent people from getting carried away in their near future.
- The accumulated credit points from all the cards make it easier for you to get rewards more frequently.
- Sometimes credit cards offer incentives to the user for the expenditure of a certain amount of money within a stipulated time period. Multiple-use from one card account helps to reach the target sooner.
These credit card benefits are just basic ones. The offers and terms vary from company to company. With add on cards on your primary credit card, you can actually reap more benefits of the discounts, rewards and coupons that your credit card offers you. You and your family now can enjoy all the perks of your credit card.