Do you have an authorized user on your credit card account? If not, you could be missing out on rewards. Additional cardholders have often been an ‘after thought’ for credit card companies; they are just another ‘benefit’ for you to get more people on your account, and increase usage.
But, recently, there have been several companies out there with credit card products that are actively attempting to compensate you, the initial card holder, with benefits! Let’s dig in and see which credit cards those are below!
Chase Sapphire & Chase Sapphire Preferred
The Chase Sapphire Preferred Card offers you 5,000 points for adding an authorized user within 3 months and they make a purchase. This is in addition to 40,000 points for sign up, two points on all travel and dining, and more!
The regular version of the Chase Sapphire card also offers bonus points, but only 2,500 under the same rules: 3 months to do so, and they must make a purchase. You’ll earn two points for dining at restaurants, and one point for every other purchase you may make!
Premier Rewards Gold
The Premier Rewards Gold card from American Express doesn’t offer you any benefits, per se, but all of those extra cards can help you earn the 15,000 bonus points for spending $30,000 in a calendar year. It will cost you $35 for each card that you have on your account.
The Chase Freedom credit card offers 2500 bonus points (or $25 cashback) for the first additional card that you add to your account. This is great news for those that don’t like paying annual fees. There is also 15 months of 0% APR when you first open the card!
United MileagePlus Explorer
The United MileagePlus Explorer credit card doesn’t charge your for extra cards on the account. Furthermore, you’ll receive 5,000 bonus United miles when you add an additional user in the first three months of card membership.
Why Add an Authorized User?
Well, besides the bonus opportunity, I believe that additional cardholders are a great way to teach someone how to use a credit card. Since it’s your credit that they are spending under, a teenager who cannot have ‘credit’ yet (it starts at 18) can instead learn under your watchful eye. There are ways to limit spending on some cards, to prevent your kids from buying that new car on your card while you’re not looking! Furthermore, I think that it adds simplicity to the bill paying process, since all of your purchases are under one account.
For this same reason, adding your significant other as an authorized user can make managing your spending easier. And, if you’re working towards meeting a minimum spending requirement, it can help you get there faster if both of you are swiping your cards for every purchase.
For more on the pros and cons of adding an authorized user, check out this article.
I believe that all of the above cards are doing right by customers for awarding bonuses for new additional cards. It makes business sense for the company, it expands their brand to new consumers, and ultimately benefits the cardholder as well, getting them that much closer to a vacation, gift card, or magazine subscription (let’s be honest, it’s probably a vacation!).
So, what cards above looked good to you? There are many options, sure, but it seems that the companies chose some of their better products to be offered up for these benefits. One catch your fancy? What are you waiting for? Apply away today, and don’t forget to add that authorized user within three months of account opening! There’s no catch!