Category - Teen
One of the easiest ways to help your teen start building credit is to make them an authorized user on a credit card in your name. Most major credit card companies with the exception of citi will allow you to add authorized users under the age of 18, though amex and discover require them to be at least 15 years of age, and barclays at. The best credit cards for teens are the capital one platinum credit card (0 annual fee) and the capital one quicksilverone cash rewards credit card (1. Both cards have great terms, and anyone who is at least 18 years old with limited credit or better can apply.). second, using a credit card with care can help your teen begin to build credit. That way when the time comes to apply for a car loan or other financing, they may be able to do so without a co-signer. One expert said you can start building credit for your child at birth. Lee kendrick with credit uturn said its going to help them later in life. although it requires a little extra effort, a low-limit credit card allows teens to build credit and practice financial independence without many of the risks that accompany a high-limit card. Once your teen turns 18, shell be eligible for her own credit card. it provides the convenience of a credit card without building up debt since the person who uses it draws on money already in a bank account. there is no a foreign transaction fee on this or any other capital one credit card. This card is great for those with no or low credit, like teens. As a secured credit card, it requires a security deposit, which acts as the cards credit line. for instance, if a parent or a guardian gets their teen a co-signed credit card and the teen fails to make payments, then the parent or guardians credit history will also reflect the missing payments. A co-signed credit card affects the credit of both the card user and the co-signer. a secured credit card is an alternative for teens whose parents dont want the risk of co-signing. The teen must open bank or credit union account to back up the line of credit. The minimum amount depends on the bank, but its often as low as 300 or 500, according to bankrate. The credit limit may be a percentage of the deposit or the entire. This card comes with options, one of which includes earning rewards on your teens purchases (just like mom and dads cash back credit card!).