Have you given your child their own credit card?
A new survey found almost 10% of parents have.
Minors can’t apply for credit cards but parents of children under 18 can add them to their accounts.
Is is smart?
On the plus side, they’d have it for serious emergencies, it can teach them about responsible spending, it shows you trust them and it might help them learn how credit works so they manage their money better when they’re older.
On the flip side, it can lead to them being more reckless with money, they could max out the account hurting BOTH your credit score and they could get used to buying things they can’t afford.
One note: Of the parents who’ve given their kids a credit card, 21% say their kids have used it without permission at least once…a good teaching lesson in itself?
