Building Credit for Kids under 18

Quiz!

At what age can a person in the US get a credit card?

1. 0
2. 16
3. 18
4. 21

Building Credit for Kids under 18

If you have kids under age 18, there are steps you can take to introduce them to the world of credit:

Build credit: You can add them as authorized users on your credit card(s). I tested this on Chase Freedom Unlimited. This can start building up their credit history, without them ever using the card. By the time they are 18, they should have a credit history.

Access to credit: In their teen years, you can have a separate credit card in one of the parents’ names, add your child as an authorized user and let them and only them use it. This goes around the age limit of 18+ for getting a credit card. There are multiple benefits:

1. Enabling them to pay anywhere that requires a credit card for payment.
2. Your child experiences the power & risk of using a credit card under your supervision. By the time they are adults, they have a chance to form healthy habits, and learn some pitfalls of credit cards.
3. You can see 100% of their credit card transactions separately from yours, allowing for a full learning experience, while identifying clearly all of their transactions.

Remember that you do this at your own risk – whatever they feel like doing with your credit card, you are on the hook.

Quiz Answer:

At what age can a person in the US get a credit card?

1. 0
2. 16
3. 18 [Correct Answer]
4. 21

Explanation: The official age is 18, but this month’s article presents a way to get access at a lower age.