My son is graduated from high school and just turned 18. He got his first credit card offer in the mail yesterday. I initially told him to throw it away since a credit card is not needed…but then it got me thinking…
My son is very good with his money, he has his own budget and spends moderately. Should my son get a credit card? Should I just add my son’s name to my credit card? Will that build his credit if he’s an authorized user on my credit card? If we get him a card, which card is best for him?
I think these will provide a great background. Cheers, Blake
In case you need a refresher on generations:
Baby Boomers: Baby boomers were born between 1946 and 1964. They’re currently between 57-75 years old (71.6 million in the U.S.)
Gen X: Gen X was born between 1965 and 1979/80 and is currently between 41-56 years old (65.2 million people in the U.S.)
Gen Y: Gen Y, or Millennials, were born between 1981 and 1994/6. They are currently between 25 and 40 years old (72.1 million in the U.S.)
Gen Y.1 = 25-29 years old (around 31 million people in the U.S.)
Gen Y.2 = 29-39 (around 42 million people in the U.S.)
Gen Z: Gen Z is the newest generation, born between 1997 and 2012. They are currently between 6 and 24 years old (nearly 68 million in the U.S.)
Gen A: Generation Alpha starts with children born in 2012 and will continue at least through 2025, maybe later (approximately 48 million people in the U.S.)
We have a 14- and 16-year-old, @wipersnaz, so it’s a little bit different, but we’re very happy with the Visa Debit cards. The kids have freedom and autonomy to spend without the hassle, risk and complexity of making/missing(!) payments and running up debt.
If he’s responsible with his money and you’ve explained exactly how credit cards work (and don’t work), then it sounds like your son is a great candidate for a credit card! I always think it’s better for them to get experience with money as early as possible. It’s really great you talk to him about money!