Cardholder [Banking] Law and Legal Definition

Cardholder refers to a person or organization named on the face of a credit or debit card to whom or for whose benefit the credit or debit card is issued by an issuer. A cardholder agreement establishes the rights of cardholders and the card issuer. According to consumer protection for purchases, when a cardholder has a problem with goods or services bought with a credit card, s/he generally has the right not to pay the remaining amount due after trying in good faith to return the item or giving the merchant a chance to correct the problem.