Credit Cards for Teens
The Increasing Popularity of Credit Cards for Teens
Credit cards for teens are becoming an increasingly popular trend. After all, what better way to teach a teenager about financial responsibility than with credit cards for teens? However, there are some things you should make sure to review when you’re considering getting credit cards for your teenagers.
Teach Responsibility
The first thing to consider when getting credit cards for teens is that it is the parent’s responsibility to teach their teenager about responsible credit card use. You can’t expect your teenagers to automatically know how to use credit cards responsibly and you’ll want to set some limits as to what the credit cards can be used for.
While your teenager may think that going on a day-long shopping spree may be the ideal way to break in her new credit card, credit cards for teens should be used with a bit more responsibility and it’s important that parents ensure that their teenagers understand that.
Watch the Monthly Statements
When your teenagers are issued credit cards, it’s important that you monitor the monthly statements very closely. If you notice an increasing trend in frivolous spending, it’s time to put the brakes on and to have a conversation with your teenager. By keeping an eye on your credit cards for teens, you’ll be able to stop a problem before it becomes serious.
On the other hand, if you notice that your teenager is using his or her credit cards wisely, perhaps you can do something to reward their responsible behavior. Treating them to a new sweater or the latest video game may be a great way to let your teen know that with responsible behavior comes great rewards.
Hold the Credit Card
If your credit cards for teens start becoming a problem, hold the credit card for your child and only give it to them in the case of an emergency. If your teen isn’t responsible enough to have the credit card, they shouldn’t be able to have access to it.
Building Responsibility and Building Good Credit
It’s important to understand that credit cards for teens don’t just teach about responsibility, they also prepare your child for the future in other ways. As your child uses their credit card responsibly, they’ll also be building a good credit history, which is an essential tool for their future financing needs.
If you’re interested in obtaining credit cards for the teens in your life, check out these credit card websites:
This is a great credit directory that can help you find the right student credit card for your college student.
This website offers good information regarding credit cards for teens and kids.
Comments
What you neglect to mention is that credit card companies deliberately target college students (especially those who are living on campus) and hand out cards left and right. They do this with kids who have no income (ie: a job) and using a dorm address. I know this personally because it happened to my daughter and consequently the fallout came to us, her parents. The mail continued to go to the dorm even though they had her correct personal information, so of course the bills were not paid. Did I mention we were never notified of any of this until we got a call from the collection agency? This is a major national problem (I wrote a research paper for college last year, 3 years after this happened to us). And no, it wasn't that our daughter was an irresponsible spender, she spent all the money at the grocery store because the dorm food was literally making her sick (we discovered later she has a severe food allergy). The problem is compounded by the fact that cc companies have deals with colleges and universities to push these, the schools make money off this! More parents need to be aware of this IMNSHO.
Posted by: Linda L. White | January 21, 2006 10:07 AM