I'm under 18 and I want a Credit Card



Most companies won't issue a credit card if the holder is under 18. If a person under 18 defaults on their card, then under federal law collections agencies can't go after them to get their money. As such, minors will find it difficult if not impossible to get a credit card for themselves. There are benefits to having a Credit Card, however, that simply having a bank account or cash can provide.



So what should you do if you're under 18 and ready to have a credit card?

The primary solutions would be to get a debit card or to ask your parent or legal guardian to cosign on a credit card with you. All of these are great options, and I personally recommend the debit card over the other two choices.

You don't have to be 18 to hold a Credit Card, and even if you're rated as being unworthy of credit you can still get a debit card. With a debit card you receive a 16-number card number and a security code just like a credit card, allowing you to make credit transactions. This allows the debit card to function as a credit card for the intent of online purchases, and can be stored and swiped just like a credit card. Unlike a credit card, a debit card draws directly from a balance of money stored in a person's bank account, which can be seen as an advantage or a disadvantage; depending on the bank the account will either refuse to drop to below zero or, more common, allow the account to drop to below zero once and add on a rather painful overdraft charge. Take note that the former behavior of refusing to drop below zero is more common with credit unions than true banks.

One of the biggest weaknesses of the debit card opposed to a credit card is that most banks don't have the same level of security on their debit cards, meaning you have to give a greater degree of caution to protecting your card and your card number. Additionally, since a debit card account is tied directly to the holder's checking account, if the holder loses track of their spending they can easily empty out their bank account by mistake.