You have to register using the code and if it is a new account, Netflix will still put a authorization charge to you credit card but that will go away later. After you have used the code and created your account, when you go to "View Billing History", you will see something like
You are currently in a special program and will not be charged.
This means the coupon was applied. If you want to double check, you can call Netflix AFTER coupon is applied and account created, to confirm about the free 1 year streaming.
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