It depends on the age and maturity of the child as well as the credit limit of the credit card. I didn't have a credit card until I was 18 because my parents wanted it to be my own responsibility to pay the bill. At 18, I was technically an adult.
But, my sister has given my 14 year old nephew a debit card that is connected to an account that she adds money to for him every month and this has taught him how to budget his own money. Once the money in the account is gone, it's gone. And he has to wait until the next month to get more money if he spends it all too soon. It took about 3 months for him to figure out how to check his balance consistently and keep track of what he was spending.
I don't think that's generally a good idea even if the credit limits are kept low at least if they are not required to pay their own loans back. It's much, much healthier for the kids to learn to only spend money that they have earned already. Kids need to be taught the value of money. Getting used to running up credit card debt that will Daddy pay off is the wrong lesson.
It is an extremely important life lesson to learn to keep your wants in check. Buy now, pay later is the root of many evils of today's society. Economic growth in the last few decades is a result of growing consumer debt in the West. It has masked the growing income and wealth inequality and allowed the problem to fester. It can get ugly when the debt bubble bursts. So, I'm definitely against giving a child a credit card. A large number of adults have problems using credit cards right. I wouldn't put on in the hands of a child any more than I would give a five-year-old a box of matches.
@Stallonmoney, In my opinion, No because we know that Credit Card is like fun at first place but burden while paying back. And in my opinion children should learn the value of money because in that way they can analyse the Financial aspect well and credit cards can bring that unnecessary urges to spend money, because sometimes it's not about the need, Technology also attracts us.
Wishing you an great day and stay blessed. 🙂
This is not exactly a yes and no question. First you have to define what do you mean by kid.
I would not give a credit card to an eight year old but I'd teach him how to handle money. Kids have pocket money and have to learn how to spend it wisely.
I would give a twelve year old a debit card however. Having limited founds can teach him how to handle finances at a young age. This way I can monitor him and raise the limit on his debit card if he demonstrates he can be responsible when it comes to money.
Some say it's not the best thing to let kids handle money but how one can learn if he's not allowed to have money or credit/debit card?
Only someone that understands money and can work and earn money should be allowed to own a credit card. What would a kid want to own a credit card for?
Kids minds are not that developed to understand certain things in life and most of them are yet to understand themselves. Let's not complicate their lives the more by giving them credit card. They should be allowed to grow and develop normally and when they have come of age, owning a credit card won't be an issue to them because they would have understood themselves and have a more developed mind of handling money. There's time for everything
I don't think kids should have their own credit cards. This is a way to make children addicted to the use of credit. Why would kids be trained in the use of credit. I think a debit card would be better as it would limit the child or kid to a limited amount of cash that would be in their account.
I think it would be better for kid to use blockchains or btc instead as these are future payment systems.
Credit card usage would lead to a financial bubble that would one day spiral of control. If adults can't control credit cards, what makes it that kids could do it?
I never agree with this. When we do any work, we have to think about it. It is very difficult for the child to get better if the children are once again brutalized. We will never want our children to be lost. If we give kids own credit card, they can use it badly without using them well.
I'm discussing below why they should not have given it
They may not use it any better
They will never understand the value of money
They could waste extra money
They may be in danger because of having a credit card
They may be lost in different ways
I do not agree. why, children are the generation to come. If we give credit cards to our children, then they will be free and spoiled, they don't understand the difficulty of making money and work. Well, by not giving credit cards to children, they will learn to try and without dependence on their parents. As parents will indirectly give attention to our children.
No, I don't believe that children ought to have CREDIT cards, But I do imagine that they ought to be permitted to open up an individual financial records at 16 years old, IF they have a STABLE occupation,
Now a days it's not alright for children to bear wads of money, Having it on a card would make it simpler and more secure.
For whatever length of time that it's an obligation card, Credit cards no, It could destroy their life on the off chance that they choose to utilize it unwisely.
I don't think it will be good for our kids.Because if we give credit cards them.when they have knowledge how to spent money.They may create big problem in their own life.They may be buy many bad things that's will not be good for them.or not will be.good for their health. Also we need to teach our kids money value.That's so important for their life.We know because of.money many people do sometimes big crime so thats why we need to be alert about this matter.Also we can see n many countries kids are getting addicted with many typpes drugs and with many bad things.we need to be alert also about this matter.Because of so much money they will be problem.
I do not think kids should have their own credit card. Since you used the word kid. It means they are not up to a Teenage age. Opening a bank account for them at a tender age is cool really but not handing a credit card to them. The reason I say it is not a good idea is because they will be too young to handle it which means it is not safe with them.
Preferably giving kids physical cash will remain a good idea because they can buy what they feel like buying with it, and that way they will learn mathematics which is addition and subtraction when they get to buy stuffs and get change.
Credit cards would not be a nice idea when it concerns kids.
A big NO. I have hundreds of reason to not to give credit cards to kids. You might find this contradicting but I have seen many cases on internet these days where their child just used their money via credit/debit cards in game purchases.
So why they must not be allowed to have credit cards?
It is not about financial freedom or something, even freedom will be of no use when you don't understand the value and aspects related to it. Credit/debit card isn't a way of exposing them to freedom. We must understand our duty and grow them with knowledge and responsibility.
If we talk about the problems/issues/dangers regarding to give credit cards to the kids, then tell what is not dangerous or problematic for the kids now a days.
The main thing is, you have to give them proper training for the use of everything they or you wish them to try out.
For example, driving a car for a kid could be not only dangerous for him/her but for others as well, but it could be useful in some emergency. So, do teach them how to drive, but in a proper place where it won't be harmful for them or others.
The more confidence you give the kids, the more confident they would be.
A big NO for me. Why? Yes, you can teach your child to be responsible with expenses but not all of these kids are obedient, and parents end up in shock to see the bills. Parents should opt for debit card instead so at least they already expect how much would be spent.
I have a friend who's daughter at teenage years do not spend the money she is giving her. She even go with her friends without money, and when they're about to eat out, she refuses because she has no money. It's cool that the child can'l live without money. But my friend felt bad for her daughter so she gave her debit card to spend even without physical money.
Yes I a agree!! why?
1 . The best freedom of a man is "financial freedom". If your kid is financial free, during some little emergency, they must nit come to you first before fixing it.
2 . Before you give a child his or her credit card you must have thought them how to use it.
3 . It could be a way to build a child economically, they will learn how to manage money from their tender age. It will help them in the future time.
4 . Finally, remember you don have to give a child who is yet to recognize an object a Credit Card.
The use of Credit card by kids will piosin their minds and may lead them to theft and internet fraud. Any child who is not yet mature, by being mature means the child can be independent and not depending on his parents can own a Credit card.
YES. If they have been taught restraint.
Look, in today's modern economies, we are seldom seeing cash money, which is already given to the kids for purchasing. Why not credit cards? Just that the financial responsibility has to rest on the parents/guardian.
Card or cash, It's the same thing, to me. We've fought against credit cards so much and now they are a part of our lives. Moving on. Money is money, no matter what form. Responsible usage is the issue, when we talk about credit cards. Credit cards of themselves are not bad, as we most often label them, just money at a high fee.