In this article we will tell you about Pros and Cons of Joint Credit Card. Therefore, first of all, we discuss about the Joint Credit Card
Joint credit card works similar to joint account in banks. Joint account can be operated by two individuals. Joint Credit Card is also operated by two individuals. All benefits of credit card can be received by both the users of credit card. In most cases, couples want to get this card so that both of them can access it.
The credit card is issued by one authorised person, but if we want to join with another one, then we can add another person. For getting this card, we have to apply in the credit card company with proper documents.
All disadvantages or advantages are equally shared by both users of credit card. As the authorised person, second user can also withdraw the amount from ATM and also purchase any equipment, which he wants to purchase. He can also use the online transaction by getting the permission of an authorised person.
The second card holder has an advantage is that he is not liable for paying off credit card bills. All pressure or burden is taken by authorised person if second credit card holder has refused to pay the amount.
Well, after discussing the meaning of Joint credit card, here we will discuss about various pros and cons, which hardly affect holders.
Let us have a look at the advantages of Joint credit card
1. First advantage is that, joint credit card is easily managed by an authorised individual. He does not require getting multiple accounts, make more than one payment and remember different due dates because all these things can be done by one credit card from another person.
2. One credit card easily comes in card holder budget.
3. In this card, cardholders can easily manage their bills and are paid on time without any delay. However, they should remember that, if they are delaying in paying credit card bills, they should keep the balance low.
4. The authorised credit card holder can be add their family members and can help him to improve his credit history, if their credit history is bad. On the other hand, if their credit card history is already good, the secondary user has to improve the credit points of the credit card holder.
5. The holders of Joint credit card can get a good interest rate, in the case of joint credit card.
6. An authorised cardholder can share their bill and expenses which are spent by the credit card, to the secondary holder. It makes easier to pay their credit card bill.
Well, after discussing about advantages of Joint credit card, we also mention their disadvantages. Therefore, let us have a look
1. First disadvantage is that,both the cardholders are liable to pay their joint credit card bills on time. If they do any falter at any point, the credit card company can issue a legal suit against both of them. It means, if one card card holder falter, then both credit card holders are liable for a legal suit.
2. The joint credit card is mostly held by many couples for their personal use. However, because of this, they have to face some problems in their relationship. After issuing their joint credit card, within a few months, they complain against their card and transform it into a single user card. If they don’t do that, they will have to face some major problems, which will result in a breakup.
3. In this kind of credit card, if one credit card holder has bad credit history, he can harm another credit card holder. For example, If one credit card holder does any falter in bills payment, then another credit card holder is also affected because in this credit account, they both are equally liable for payment.
We hope now you know Pros and Cons of Joint Credit Card.