Add-on Credit Cards: Convenience vs. Hidden Risks for Families

• Add-on credit cards allow secondary users (spouse, parents, children) to use a card linked to a primary account, consolidating all spending into one bill.
• Banks typically issue add-on cards at no extra cost, sharing the primary card's credit limit, with the primary cardholder bearing full legal and financial responsibility.
• While offering convenience for daily expenses and faster reward accumulation, add-on cards can lead to financial strain if spending is not tracked or communicated effectively.
• The primary cardholder's credit score is solely affected by late or partial payments, regardless of who made the purchase, as add-on users do not build their own credit history.
• Add-on cards are suitable for families with open financial communication and disciplined spending; otherwise, alternatives like prepaid cards or separate low-limit cards might be safer.

Why It Matters: Add-on cards offer convenience but shift all financial responsibility and credit risk to the primary cardholder.