Manila, Philippines

Breadwinners: Get Supplementary Card for Parents and Dependents

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Want to feel safer that your dependents back home have emergency funds just in case?

Then you might want to give them a supplementary credit card.

Of course the supplementary card has a wide array of other uses than just emergency cash, but for breadwinners who don’t have much spare cash to provide for emergency use, then a supplementary card might just come in handy.

A supplementary card or extension card is basically it: an extension of your credit card and the credit limit that comes with it. If you already have a credit card, then requesting for a supplementary card from your bank will be really easy. Why easy? Because you are the one who will be billed for the transactions of your supplementary card. So if you are a valued good cardholder, then chances are the issuing bank will gladly give you one.

Some points for you to consider:

Ready Credit on Stand By

A supplementary card can provide ready credit in times of unplanned expense or emergency need at home. This well substitutes cash that you leave at home from time to time, and this also saves you the time and effort of going to a bank branch or remittance center just to provide additional urgent cash for your dependents. Of course the assumption here is that credit card is an acceptable payment to that unplanned urgent expense.


Others Use It, But You Pay For It

Only create and give supplementary cards to people you trust, like parents, grown up children, etc. The card is a mere extension of credit given to you, as such it just shares with your own credit limit so you don’t want fully utilizing your credit limit just because of irresponsible use from supplementary cardholders.

Remember that a credit card actually induces more spending than using cash so it will be best to educate them and not to fall to these pitfall.  And that is the reason as well issuing banks can easily give you one: since it may induce more spending from your end, but their credit exposure remains the same which is your card limit.

In my case, I highlight the purpose that it is only for emergency unplanned use. Not for the weekly groceries. But if you want to make your supplementary card substitute your regular remittance and budget at home, then by all means do so.


Annual Fee

The card of course comes with a fee, usually. Issuing banks charge around half the annual fee of the primary card for every supplementary card enrolled. Yes, a primary cardholder may have multiple supplementary cards for various needs and various users. And since all their transactions will be billed to your account, you can readily see where and for what transactions they use their cards.

Issuing banks will definitely highlight many more benefits of getting a supplementary card, but for me giving your dependents one for emergency use is among the most useful yet not-so-sexy reasons. Very breadwinner friendly. Haha!

Ready credit for your dependents. And since this remains as credit, you and your supplementary cardholders still need to use them very wisely.

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