Partners Can Get Credit Cards Again Thanks to New Rule
Gay marriage is not legal everywhere but here is one cool loophole or way to get extra credit and card bonuses for you and your partner who live in the same household.
The CARD Act caused some problems when it came online and previously required banks to evaluate borrowers based on their own income instead of household income or income from others. This meant that stay-at-home partners, Graduate students with student loans ‘“ or anyone who relied on someone else for their income ‘“ were having trouble getting their own credit cards and the sign-up bonus and perks that come along with credit cards. A new rule from the Consumer Financial Protection Bureau (CFPB) has amended the CARD Act so now partners living in the same household can apply for credit cards once again.
The CFPB new rule says that banks can consider any ‘œincome or assets to which consumers have a reasonable expectation of access.’ Keep in mind this is only for people over 21 years old.
If you’re a stay-at-home partner with a joint checking account or investment account you can now list these accounts in the application as an asset because you have access the funds in the accounts. Or you can list the portion of income from your wage-earning partner’s account, which you can use to pay back your debts. You could even list your partner’s entire income with this new rule.
The banks since April 2013 to implement the rule, and to make changes to how they qualify credit card applicants. One thing to keep in mind is that you can double your credit card bonuses if your partner applies as well.
We have an example of the Barclays Arrival Card which we feel is one of the best travel cards to have and you and your partner may have a chance to get the $400 bonus each. The Barclays application asks for ‘œTotal Annual Income.’ and Barclays defines annual income as:
‘¦all of your sources of income, including income from assets, that you would like considered as a basis for repayment.
This should mean that you can include any income on the application as long as you can use it to pay your credit card bill. This includes your partner’s income or an allowance from a parent.
Just to summarize you can list your income as ‘œmaintenance’ income or in the ‘œother’ category on the credit card application as long as you can use it to pay back your debt.
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