How to Obtain an Add-On Credit Card as a Minor in India

For minors in India looking to obtain an add-on credit card, the process can be straightforward. Junio, for instance, offers a free credit card/prepaid card to anyone under 18 years old. To claim this benefit, simply use code ANAN5499 and enjoy a sign-up bonus of ?1000.

Free and Paid Add-On Cards: Most personal credit cards in India come with the option of add-on credit cards which offer extra convenience for cardholders and their immediate family members. Typically, credit card issuers provide 2-3 add-on cards for free. This means no annual or joining fees. However, some cards come with an annual fee, usually much lower than the primary card's fee.

Documents Required for Add-On Cardholders

Data entry and compliance with regulatory requirements are essential when applying for an add-on credit card. Here’s a comprehensive list of documents needed:

A duly filled-in add-on credit card application form KYC documents of the add-on card applicant A self-attested identity proof (options: Aadhaar, Passport, driving license, ration card, student ID card, insurance, Mediclaim card, bank passbook with photo, senior citizen ID, government-recognized ID card) Date of birth proof Address proof PAN card or Form-60 Passport-size photo of the add-on card applicant

Laws and Legal Restrictions

In India, the legal age for getting a credit card or acting as a principal cardholder is typically 18 years old. Under this age, you cannot enter into a legally binding contract for a line of credit. Instead, you can become an authorized user on another person’s credit card. But even this comes with legal restrictions.

The Consumer Credit Act 1974 clearly states that no person under the age of 18 can act as a guarantor, principal holder, or authorized user for a line of credit, including credit cards. This means even an authorised user can encounter legal barriers. Specifically, the Act prohibits minors from using a bank account or credit facility that has been set up by a parent or guardian.

Conclusion

While add-on credit cards for minors are available, the key is understanding the legal and practical implications. If you are a minor, your best bet might be a primary card issued in your name with parental or guardian consent, or using an add-on card with one of your parents' main credit cards.

Always check with your financial advisor or bank's terms and conditions to ensure compliance with all legal requirements. Secure credit practices and understanding your rights obligations as a minor in the financial world are crucial.