Drinking age is the new credit card age
People younger than 21 can no longer get credit cards on their own.
When a new piece of legislation takes effect in February, anyone younger than 21 will need a cosigner older than 21 to get a credit card. I believe this is a very positive step that will keep a lot of people from getting deep into debt.
If I hadn’t gotten a credit card when I was 18, I know I’d be a lot better off. I racked up so much debt on my credit card by the time I was 21 it seemed it was already too late to get out. Years later, I am still paying off purchases I made while I was in college.
Start of a credit catastrophe
It’s this type of mentality that keeps people going deeper and deeper into debt. I figured I already owed thousands of dollars on my card, what’s a few hundred more? Many college students and graduates feel the same way, so they keep their cards maxed out and eventually need credit counseling to figure out how they will ever overcome their debt.
I think if I’d had a few years after I moved out of my parents house to learn to live without a credit card, it would have been much easier to go without one or to use one responsibly. But alas, an 18-year-old with a credit card who is on her own for the first time is a dangerous thing with possibly lifelong implications. I am glad legislators see this and passed the new law.
Implications to credit card industry
If my prediction that not allowing people to get credit cards until they are 21 will cause a lot less debt and much more responsible use of credit in general, it could have huge implications for credit card companies. Personally, if I had not been allowed to get a credit card until I was 21 I might have never gotten one at all.
I think and I hope that this will be the case for many young people, who will realize they can survive without using credit and spending thousands on interest alone. I think this new law could greatly reduce the use of credit cards, which is great news for society but could potentially bankrupt the credit card industry.
I guess creditors should start looking for new jobs now.
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I agree in some way, but then again i disagree. Im and 18 year old, who is already certified EMT-I, and fixin to be paramedic. I had the money in the bank for a new set of tires for my truck, (mine we're bald), but like i said i had the money in the bank, could buy the tires easily, but i wanted to try and build credit. Since i had no credit, they wouldnt even let me get a $400 loan on the tires… If you cant have a credit card until your 21, then how at 22-23 are you going to start a family and own a house? I want to get a $500 credit card from my bank. Im not gonna make payments with my credit card, im too smart for that. I plan to buy gas on the card and pay it off every month. No interest, and as long as i pay it off each month, my credit score rises. There is no way for an 18 year old to get credit without some help. Yes i aggree that there are teenagers out there that are too immature to own a credit card at 18. I feel as tho I am one who is not too immature. I have taken numerous business classes to aid me in money making decisions and am not happy with the rules. I think there should be some sort of stipulations on gettin a credit card, but to say that someone who is able to serve they're country in war and get shot at cant even own a credit card?
signed concerned young adult
This is by far the best thing I've heard in months. I do not believe young people should own credit cards. I've witnessed many young people stuck deep in financial debt because of credit cards. The shocking part of this is many of them are fresh out of high school! Without the proper understand of money, the creation of money and the hard work involved in the making of money, credit cards will only cause financial turmoil even before they set foot in the real world.