Authorized Users and Additional Cardholders in Canada: How They Work

An authorized user, also called an additional or supplementary cardholder, gets their own card linked to your account. They can spend on it, but you, the primary cardholder, are responsible for paying every charge. In Canada, the Financial Consumer Agency of Canada (FCAC) says purchases made as an additional cardholder won’t help that person build a credit history. That last point is the one people most often get wrong.

This guide explains how authorized users work at Canadian issuers, what they cost, how rewards and insurance are shared, and when adding someone makes sense.

The roles, defined

FCAC’s joint credit cards page describes four roles:

• Primary cardholder. You applied, your name is on the agreement, and you must be the age of majority in your province. You can add and remove additional cardholders at any time, and you’re responsible for paying the balance, including their purchases.
• Additional cardholder or authorized user. Gets a card linked to the primary’s account. The account belongs to the primary cardholder, and the additional cardholder is not responsible for paying back money owed.
• Co-borrower (co-applicant). Applies together with you. Co-borrowers have access to the account and are equally responsible for the balance. Not every issuer offers this.
• Guarantor. Doesn’t have access to the account but is responsible for the balance, often for someone who wouldn’t qualify alone.

Most Canadians who “add someone to their card” are setting up the second role. Different issuers use different names: Amex says “Supplementary Cardmember,” TD and BMO say “Additional Cardholder” or “Authorized User.”

Who can be added

• Age. Rules vary by issuer, and FCAC notes some issuers allow authorized users under the age of majority. American Express Canada says supplementary cardmembers must be at least 13 years old, and BMO’s terms describe the same minimum on some cards.
• Number of cards. Amex allows up to 9 supplementary cards per account. Other issuers set their own caps; the CIBC Costco Mastercard, for example, allows up to three additional cards.
• Address. Some issuers require the authorized user to have a Canadian address.

You usually add an authorized user online, in the app or by phone, and need their name, date of birth and sometimes address.

What it costs

Additional card fees range from nothing to $75 or more a year:

• The American Express Cobalt Card charges no fee for supplementary cards.
• The CIBC Aventura Visa Infinite charges $50 per additional card.
• The TD Aeroplan Visa Infinite lists a $75 additional cardholder fee.
• Most no-fee cards also offer free additional cards.

Check the fee schedule for your card. A first-year fee rebate on the primary card doesn’t always extend to additional cards.

Rewards: everything goes to the primary

Purchases by authorized users earn rewards on the primary account, at the card’s normal rates. That’s the biggest practical upside: pooling a household’s spending on one account can reach bonus categories and spending thresholds faster.

Some issuers have extra incentives. American Express offers a welcome bonus on approved additional cards on select products, and BMO’s eclipse Visa Infinite Privilege adds a 25% bonus to the earn rate when you add a supplementary card. These offers change, so read the current terms.

Keep in mind:

• Spending caps are shared. If a card earns a bonus rate up to a monthly or annual cap, purchases by authorized users count towards the same cap.
• Welcome bonus spending. Authorized user purchases normally count towards the primary’s welcome bonus spending requirement. Check the offer terms to be sure.
• Authorized users usually can’t redeem. Only the primary cardholder can typically redeem points. BMO, for example, says only the primary cardholder can log in to the BMO Rewards account and redeem.

Benefits and insurance

Some card benefits extend to additional cardholders, and some don’t.

• Travel benefits. On the TD Aeroplan Visa Infinite, additional cardholders who link their own Aeroplan number get the free first checked bag benefit on eligible Air Canada flights, and can use the NEXUS fee rebate.
• Lounge access on premium cards is often limited to the primary cardholder, or requires each cardholder to enrol separately.
• Insurance often covers the primary cardholder, their spouse and dependent children, whether or not they’re authorized users. An authorized user who isn’t a spouse or dependant (an adult child who’s no longer a student, a parent, a friend) may not be covered. Read the definitions in the certificate of insurance. Our travel insurance guide explains the details.

Does being an authorized user build credit?

FCAC is direct about this: as an additional cardholder, “any purchases you make using the card won’t help you build your credit history.”

You may hear that adding a teen or partner as an authorized user gives them a head start on credit. That idea mostly comes from the U.S., and it doesn’t match FCAC’s guidance for Canadians. Reporting practices are up to each issuer and the credit bureaus, so if it matters to you, ask the issuer directly what (if anything) they report for additional cardholders. Don’t count on it.

To build credit in their own name, the person needs a credit product of their own: a student card, a secured card, or a starter card. Our credit scores guide and newcomers guide cover the options, and the student cards hub lists cards designed for first-time applicants.

The risks for the primary cardholder

Because you owe everything charged to the account, adding someone is a decision about trust.

• No separate limit by default. An authorized user can usually spend up to your full available credit. Some issuers let you set a spending limit on each additional card. Amex Canada, for example, lets the basic cardmember choose a per-billing-period spending amount for each supplementary card.
• Your credit utilization is affected. Their spending raises your balance, which affects your utilization when the statement is reported.
• Missed payments hurt you, not them.
• Removing them. FCAC says the primary cardholder can remove additional cardholders at any time. Ask the issuer to cancel their card, and collect or destroy the physical card. Recurring charges they set up on that card may need to be moved.

When adding someone makes sense

Adding an authorized user tends to work well when:

• You share household expenses with a partner and want rewards on one account.
• You want a teen to have a card for emergencies or to practise budgeting, with a spending limit and visible statements.
• The card has valuable benefits, such as free checked bags, that the other person can use.
• The additional card is free, or the extra rewards and benefits clearly exceed its fee.

It works less well when you’re trying to help someone build credit (it generally won’t), or when you aren’t comfortable being responsible for their spending.

Authorized user vs. their own card

	Authorized user	Their own card
Who owes the balance	The primary cardholder	The cardholder
Builds their credit history	Generally no, per FCAC	Yes, with on-time payments
Rewards	Go to the primary’s account	Go to the cardholder
Approval	No separate credit application, usually	Credit check and income requirements
Insurance	Depends on the certificate’s definitions	Their card’s own coverage

Many households use both: a partner has their own card to build credit and also holds an additional card on the account with the best rewards.

FAQ

Is the authorized user liable if the primary cardholder doesn’t pay? FCAC says an additional cardholder isn’t responsible for paying back money owing on the account. A co-borrower is, which is why the distinction matters.

Can a teenager have a credit card in Canada? Not as a primary cardholder until they reach the age of majority in their province. Some issuers allow younger authorized users; American Express Canada’s minimum is 13.

Do authorized users get their own credit limit? Not usually. They share the primary’s limit, though some issuers let you set a lower spending limit per card.

Do authorized users count for welcome bonus eligibility? They can. Scotiabank’s offer terms exclude anyone who was a secondary cardholder of a Scotiabank personal card in the past two years. See our welcome bonus eligibility guide.

Can I add someone who doesn’t live with me? Often yes, but issuers may require a Canadian address, and insurance coverage may not extend to them.

What to do next

If you’re pooling household spending, compare cards on the rewards hub and look at each card’s additional cardholder fee. For a family member who needs to build credit, look at their own starter card on the no annual fee hub instead.