Using a friend's credit card for foreign expenses?

[himanshubansal93]

I want to use a friend’s Scapia card for foreign transactions and settle the amount with them later.
Could this create any issues related to taxation, compliance, or credit history for either of us?

 

[anuragmukherjee28]

Using a friend’s Scapia card for foreign transactions is generally fine from a tax and compliance perspective, as long as the spends are personal and you settle the amount with them privately. There’s no tax implication just because the card is used by someone else.

From a credit history point of view, the entire responsibility stays with the cardholder. As long as your friend pays the card bill on time, their credit score won’t be affected. Your credit history is not linked to the transaction at all.

The only real risks are practical ones, card issuer terms technically allow usage only by the cardholder, and large or unusual foreign spends could trigger fraud checks. Also, make sure repayments between you are clearly documented to avoid any personal disputes.

In short, no tax issues for either of you, no impact on your credit, and only standard card-usage risks to be mindful of.

 

[himanshubansal93]

Thank you, Anurag, for the detailed and clear explanation. I truly appreciate your help.