Credit card additional cardholder swap

MoneyDummy

Thinking of applying for 123 credit card and want to put OH as an additional cardholder to gain more cashback and avoid another annual fee and pay it out of our joint account.

We both hold 123 accounts so I know the first year would be annual fee free but do you think it would be possible to do the reverse after 1yr to avoid the annual fee again.

Does that make sense?

If it's possible, do you think it's too naughty?;)

Thanks.

YorkshireBoy

Yes it makes sense, and no it's not naughty!


However, depending on the credit limit granted it may be beneficial to keep the balance on the first card at 0% for the remaining 11 months if you can make more than £2 in savings interest per month (which you could clearly do with 3/4/5% paying current accounts and a very small balance).

MoneyDummy

Thanks YorkshireBoy.

We were considering cancelling it after the year, but you're right - take advantage of the 0% on purchases.