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Valued Contributor
thom02099
Posts: 1,348
Registered: ‎08-30-2011
0

Re: Credit cards for your kids?

I added both my kiddos (daughter 17/son21) as AU as a Christmas present in 2011.  Both are gainfully employed and I wanted them to start learning and respecting the power of credit.  They were added to my  Citi Diamond Preferred MC, AMEX Clear,and Discover More  (now IT).  Citi and AMEX allowed me to set limits on them, Discover, I just monitor closely.  All 3 report as TL for both kiddos, and because of these additions my daughter had a 728 EX score when we did a refi on her vehicle loan.. This wouldn't have happened with pre-paid cards.  

Diners Club Premier MasterCard $50K / AMEX Gold NPSL / AMEX Zync NPSL / AMEX Blue Cash Preferred $14K / Bank of America Cash Rewards Signature Visa $15K / Merrill Lynch Plus Signature Visa $15K / Wells Fargo Propel 365 $15K / Chase Sapphire Preferred Signature Visa $10K / J P Morgan Select Signature Visa $10K / Chase Slate Visa $6K / CITI Diamond Preferred MasterCard $13.2K / Discover IT $10.5K / IberiaBank Select Visa $8K / 1st Command Bank Platinum Visa $7.5K // Home Depot $9.7K / Lowes $10K

EX = 799 EQ = 812 TU = 811 - 11/2014
Valued Contributor
bs6054
Posts: 1,673
Registered: ‎11-11-2012
0

Re: Credit cards for your kids?


Cleanmachine wrote:

Consumers under the age of 21 can obtain a credit card if they have a co-signer.

 

The co-signer is a Parent or Guardian who agrees to pay off the debt if the child becomes unable to pay.

 

OR

 

If under 21 years of age must provide documentation that proves they can pay off the credit requested.


I think that is what the law says, but... My daughter at 18 got her own card (Capital One Journey) with a $2500 limit, and the "documentation" was merely putting a number on the application.

Regular Contributor
ceemee2203
Posts: 201
Registered: ‎07-27-2012
0

Re: Credit cards for your kids?

I think your child could learn responsibility if at the end of every month you provide her with the bill that she has to pay for her charges. As long as you stick with it, she'll learn how she's spending her money and about the responsibility of paying it back.

 

When she's older, she'll appreciate it.

 

 

Plus, if she's an AU, and you can set her limit, you won't have to worry about paying out $1000 because she lost her mind one day and "just had to have that bag."

Current Cards: AMEX Green, AMEX BCE ($15.2k), AMEX SPG ($6k), Arrival ($7.5k), Merrill+ ($7.5k), Freedom ($5k)

4/14 - 762 Fico (Barclaycard)
Established Contributor
distantarray
Posts: 2,112
Registered: ‎09-25-2011
0

Re: Credit cards for your kids?

when I get a child I'm adding the kid to my amex as legally allowed lol, I wonder if they would let me add them as a new born? :smileywink:  this way when they turn 18 they got 18 years of backdating :smileyhappy:


total credit limits $108,400 Credit scores Ex 728 EQ 738 TU 758
Established Contributor
snowkitty
Posts: 985
Registered: ‎09-10-2012
0

Re: Credit cards for your kids?

I definitely want to be able to set a limit....after all she is a 16 year old girl who loves clothes, shoes & to spend money! I'm trying sooo hard to teach her and my son about how important credit is. I show them my stuff all the time. I messed my credit up so bad when I turned 18.....twice in fact because my parents bailed me out the first time. I do not want them to follow in those footsteps.

On mobile....sorry for any errors
TU Fico 714 | Sesame 742 | Credit Karma 762 | Wal-Mart FICO 734 | EX FICO 695 (1/28/13) | EQ 740 (3-21-13)

Amex Blue Sky 7.2k | Amex BCE 13.1k | Citi Diamond Preferred 10.2k | CSP 5k | Bofa Cash 9k | Boa Travel 10k | Discover More 3k | Chase SW 5k | Wal-Mart 3.3k | Amazon 5k | Old Navy Visa 5k | Shell 1200 | BP 400 | VS 1500 | Sam's Discover 8.5k | FNBO Amex 16k | Chase Freedom 1.3k | Home Depot 5k | Brylane Homes 1600 | BML 2820

App free since 12/11/13*
Established Contributor
snowkitty
Posts: 985
Registered: ‎09-10-2012
0

Re: Credit cards for your kids?


distantarray wrote:

when I get a child I'm adding the kid to my amex as legally allowed lol, I wonder if they would let me add them as a new born? :smileywink:  this way when they turn 18 they got 18 years of backdating :smileyhappy:


lol   :catvery-happy:

TU Fico 714 | Sesame 742 | Credit Karma 762 | Wal-Mart FICO 734 | EX FICO 695 (1/28/13) | EQ 740 (3-21-13)

Amex Blue Sky 7.2k | Amex BCE 13.1k | Citi Diamond Preferred 10.2k | CSP 5k | Bofa Cash 9k | Boa Travel 10k | Discover More 3k | Chase SW 5k | Wal-Mart 3.3k | Amazon 5k | Old Navy Visa 5k | Shell 1200 | BP 400 | VS 1500 | Sam's Discover 8.5k | FNBO Amex 16k | Chase Freedom 1.3k | Home Depot 5k | Brylane Homes 1600 | BML 2820

App free since 12/11/13*
Established Member
sambam94
Posts: 33
Registered: ‎01-28-2013
0

Re: Credit cards for your kids?

18 year olds do not need documenation..well, maybe some banks do, not what I've seen though..Chase, USAA, Barclays

Valued Contributor
thom02099
Posts: 1,348
Registered: ‎08-30-2011
0

Re: Credit cards for your kids?


ceemee2203 wrote:

I think your child could learn responsibility if at the end of every month you provide her with the bill that she has to pay for her charges. As long as you stick with it, she'll learn how she's spending her money and about the responsibility of paying it back.

 

When she's older, she'll appreciate it.

 

 

Plus, if she's an AU, and you can set her limit, you won't have to worry about paying out $1000 because she lost her mind one day and "just had to have that bag."


+1, Amen to that! 

When the bills come in, I let my kids know right away.  I set up alerts for balance changes so I get notifications.  They then pay me in cash, which i deposit and use to pay their bills. 

Diners Club Premier MasterCard $50K / AMEX Gold NPSL / AMEX Zync NPSL / AMEX Blue Cash Preferred $14K / Bank of America Cash Rewards Signature Visa $15K / Merrill Lynch Plus Signature Visa $15K / Wells Fargo Propel 365 $15K / Chase Sapphire Preferred Signature Visa $10K / J P Morgan Select Signature Visa $10K / Chase Slate Visa $6K / CITI Diamond Preferred MasterCard $13.2K / Discover IT $10.5K / IberiaBank Select Visa $8K / 1st Command Bank Platinum Visa $7.5K // Home Depot $9.7K / Lowes $10K

EX = 799 EQ = 812 TU = 811 - 11/2014
Frequent Contributor
jake619
Posts: 496
Registered: ‎11-13-2012
0

Re: Credit cards for your kids?


distantarray wrote:

when I get a child I'm adding the kid to my amex as legally allowed lol, I wonder if they would let me add them as a new born? :smileywink:  this way when they turn 18 they got 18 years of backdating :smileyhappy:


I would've tried it with my 4yo but Amex minimum AU age is 15.  As an aside, where do you plan on "getting" your kid?  Are they any sales now?:smileysurprised:


GangnamFICO wrote:

Because the chicks dig it when I throw down the card to the waiter and...it comes in handy if I'm short on cash until payday and need a short spot. AMEX gets the booty, and that's important when you're a Pirate.


Minor vulgarity edit --Rev



Contributor
pkosheta
Posts: 99
Registered: ‎08-13-2008
0

Re: Credit cards for your kids?

Adding a child as an AU is good if you trust your kids.  I started at age 10 and my credit is great because I learned to manage it at a young age.  It can be a great teaching tool.  However, at age 16 kids tend not to listen ( I know I didn't). At age 10 mom and dad had my ear to a far greater degree and so I was indoctrinated/exposed to engage in responsible  Credit behavior.  It is also hard to abuse when you cant even drive yourself to the store ( and before amazon.com lol).  It paid off and I cannot thank them enough.

Age 29
AU- United+ Visa 33k, *97. GM MasterCard 15k, *95.
Individual- PenFed Plat Rew 7k, *08. Amex Blue 6.7k, *12. Hilton Amex 5.5k, *12. Chase Sapphire 15k, *12. U.S. Bank Cash+ 12.3k, *12. Barclays Priceline.com Rewards Visa 11k, *13. Citi Hilton Reserve 7k, *13. Club Carlson Premier 9k, *13.

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