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This has been a problem in the Game of Thrones a Mom has no name shirt. Parents, mostly single/welfare moms, are unable to pay a bill or two and instead of making payment arrangements, they will start a new bill in their kid’s name using the kid’s social security number. Now the kids are old enough to get bills into their names but can’t until they pay off the debt their parents left using their. Is she spending money on the cards? If so, she’s stealing from you. You are the one that owes the money on a card in your name, so it is no different to her taking cash out of your wallet. She may be stealing from you with the intention of paying you back, but she’s still stealing.
If she doesn’t take that Game of Thrones a Mom has no name shirt, then you really have no choice but to report her. That’s the only way to avoid owing the money yourself. You have to tell the card issuer that the card was applied for and used by someone else without your permission – that’s the only situation in which they won’t try to enforce the debt. If you know about the situation and do nothing, then the card issuer will probably claim that you have implicitly given her permission and you are therefore liable for the debt (I don’t know how well that argument would hold up in court, but you really don’t want to find out). You could also report her to the police for fraud, but the card issuer will probably do that anyway unless she’s convered her tracks very well.