kb9tbq
07-11-2003, 11:30 PM
Poster Left Unnamed:
I've been looking at some of the reasons for low credit scores and one seems to be " you haven't haad credit long enough". I was wondering if I was to get a credit card in my sons name and SS#, he's only 7 months old, would that help him when it gets old enough to start establishing his own credit. Just a thought.
There are a few reasons why this might not be a good idea.
For one, the creditors who use fraud alert products would know from the social security number - that he was not old enough to be getting credit. May for others that don't check against the social security administration data base.
Another reason - would be how long to you expect this account to be open he is 7 months old now but should not have credit until 18. Which gives 17 years to maintain this account open and with charges made so that the creditor would not shut down the account due to inactivity.
And the final reason is purely for the protection of the child himself. Even with the best of intentions - there is still the what if side of things should something happen that delinquecies showed up on the account.
From my point of view - from time to time a divorced or seperated parent has called me specifically wanting to know how to check their childrens credit reports due to supsision of id theft on the other parents part.
This is so delicate a subject, have to be so careful with what you do - when making such a decision.
Yes, with the trouble of fraud you can obtain copy of a childs credit report if you write in the request, with proof of your gardinanship over the child to review what damage has been done.
Also Authorized User is the best and right way to go, you don't have to do this until the child is old enough to apply for credit themselves since, the history is reflected on your part and will still be there when the child needs it.
Recommend that you just don't give the child the Authorized Users card - hold on to that yourself and just let them ride with no spending rights. Believe me you will be saving yourself a lot of headaches in case they decide to go on a spending spree. Have already had a few of these calls from parents - that simply did not want to press charges against the child and ended up living with the bad credit resulting.
Would leave Co-Signer / Joint accounts alone. Only Authorized User and take the credit card away. Otherwise you invite trouble, since they can so easily drag your credit rating down with them.
I've been looking at some of the reasons for low credit scores and one seems to be " you haven't haad credit long enough". I was wondering if I was to get a credit card in my sons name and SS#, he's only 7 months old, would that help him when it gets old enough to start establishing his own credit. Just a thought.
There are a few reasons why this might not be a good idea.
For one, the creditors who use fraud alert products would know from the social security number - that he was not old enough to be getting credit. May for others that don't check against the social security administration data base.
Another reason - would be how long to you expect this account to be open he is 7 months old now but should not have credit until 18. Which gives 17 years to maintain this account open and with charges made so that the creditor would not shut down the account due to inactivity.
And the final reason is purely for the protection of the child himself. Even with the best of intentions - there is still the what if side of things should something happen that delinquecies showed up on the account.
From my point of view - from time to time a divorced or seperated parent has called me specifically wanting to know how to check their childrens credit reports due to supsision of id theft on the other parents part.
This is so delicate a subject, have to be so careful with what you do - when making such a decision.
Yes, with the trouble of fraud you can obtain copy of a childs credit report if you write in the request, with proof of your gardinanship over the child to review what damage has been done.
Also Authorized User is the best and right way to go, you don't have to do this until the child is old enough to apply for credit themselves since, the history is reflected on your part and will still be there when the child needs it.
Recommend that you just don't give the child the Authorized Users card - hold on to that yourself and just let them ride with no spending rights. Believe me you will be saving yourself a lot of headaches in case they decide to go on a spending spree. Have already had a few of these calls from parents - that simply did not want to press charges against the child and ended up living with the bad credit resulting.
Would leave Co-Signer / Joint accounts alone. Only Authorized User and take the credit card away. Otherwise you invite trouble, since they can so easily drag your credit rating down with them.