Cardholder

A cardholder is a person who has been issued a card by an organization and is authorized to use the card. Cardholders may hold various kinds of cards, including payment cards (credit, debit, or prepaid), identification cards (such as a driver’s license or national ID), library cards, or membership cards. In financial contexts, the cardholder is typically linked to an account at the issuing institution, which records transactions and determines access to funds or services.

Usage and responsibility: The cardholder is responsible for safeguarding the card and any authentication methods used to authorize transactions, such as PINs, passwords, or biometric data. Cardholders must comply with the terms in the cardholder agreement, authorize transactions, monitor statements, and promptly report losses, theft, or suspicious activity.

Security and liability: Liability for unauthorized transactions is defined by applicable laws and the cardholder agreement. Many issuers offer protections that limit the cardholder’s liability, and some provide zero-liability policies for unauthorized charges. Cardholders are typically encouraged to use secure channels, keep devices and data confidential, and promptly respond to potential fraud alerts.

Contexts and services: While the term commonly refers to payment and identification cards, it also applies to library and loyalty program cards. In these contexts, cardholders gain access to services, track borrowing or participation privileges, and have privacy rights over their card-related data. Cardholder information is generally protected by data protection and privacy regulations relevant to the issuing organization and jurisdiction.