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Technically, unless you are authorized on the account you are in violation of the card agreement (and in some cases the law) if you use another persons card even with verbal or written permission. Therefore, how you sign is irrelevant as far as "the right way" is concerned, but forging a signature only worsens things if you manage to get caught after the fact and get in trouble somehow (maybe you have a falling out with the card holder and they say you stole the card etc.). However, you are less likely to have the merchant handling the transaction ask questions if you sign the other persons name, and are less likely to have the card issuer notice anything.

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Q: When using someone else's credit card with permission should you sign their name or yours?
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