Credit repair

Teenagers needing to build credit !!

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Fasfeed

Joined: 06 Feb 2008
Fasfeed's page
Posts: 87

3212 Magic Points

Subject: Teenagers needing to build credit !!

Wed Feb 20, 2008 1:58 am

I have two teenage boys and I am ready to help them to start building their credit .I am really looking forward to giving them a better start than I gave myself and I am not looking forward to having to cosign for any accounts. Does anyone have any suggestion towards the best way to start building credit when starting out with a clean slate . I am trying to keep them with minimum debt ,while still achieving to have an excellent credit score by age 21. Suggestions on what type of accounts to apply for with no credit history would be great. My boys are 17 and 15.

erb1953

Joined: 31 Dec 2007
erb1953's page
Posts: 631

8 Magic Points

Wed Feb 20, 2008 2:08 am

You could open a credit union account or a bank account for them and then once they have enough money in the account, say $500, have them apply for a loan and use the account as collateral. You will pay more intrest then the bank account is drawing, but if they have $500 in there and take out a loan for like $400 and put it in the account also, make payments for like six months to establish a payment history and then pull the pay off amount out and then pay it off, this would give them a credit history. You may still have to co sign because of their age, this is something that you would have to discuss with the financial institution that you are dealing with.

goodnatured

Joined: 03 Nov 2007
goodnatured's page
Posts: 3137

5332 Magic Points

Wed Feb 20, 2008 2:14 am

Try googling youth and credit, I think the major issue will be is to keep them from screwing up there credit before they are of age. That is where alot of youth go wrong, especially with credit cards.

Laura

Joined: 21 Jun 2007
Laura's page
Posts: 1407

34540 Magic Points

Wed Feb 20, 2008 7:02 am

First help them learn how to maintain an account if opened. Once they know I am sure they will be able to handle accounts easily. Responsibility comes from learning and experience.
_________________
Regards,
Laura.

Ism

Joined: 13 Feb 2008
Ism's page
Posts: 44

2506 Magic Points

Wed Feb 20, 2008 5:20 pm

Rent the movie "Maxed Out". It is a documentary about credit cards and college kids. it is a very powerful movie that brings up many things to discuss. I watched it with my 15 year old daughter and we'd pause it to talk about what we just heard or saw - it was a good start and opened her eyes to how little she knows, even if she is a teenager that "knows it all" Wink

Guest

Wed Feb 20, 2008 6:42 pm

There really isnt much you can do before they turn 18 and establish a history. I think AU use has been phased out now.

Fasfeed

Joined: 06 Feb 2008
Fasfeed's page
Posts: 87

3212 Magic Points

Thu Feb 21, 2008 2:39 am

I really was not planning to make any moves until they actually turn 18,which will be about 8 months for my 17 year old. Iam really trying to get a good head start.Will definitly look into renting [MAXED OUT]. I was thinking about starting out with a secured credit card.Open to all suggestions. THANKS!!

diem

Joined: 20 Feb 2008
diem's page
Posts: 97

222 Magic Points

Thu Feb 21, 2008 3:38 am

Are they going to college? They can most likely get a low credit student card. My fiance started with a 1st Financial card with a $700 limit. A couple years later its up to $7000 and she has high 700 scores.

If you are looking into secured cards, check out the 99/500 Bank of America card. It's partially secured and partially unsecured. National City and Orchard also have good secured cards, and I know for a fact NC reports as unsecured which is excellent! Only downside is you have to mail in your app.

If interested let me know and I can provide you with proper links.

tvshowsondvd
Guest

Subject: Tv show on DVD

Mon Feb 25, 2008 9:18 am

Hi please suggest how can I convert my favorite TV programs
Then view them at my time of convenience?

Guest

Mon Feb 25, 2008 3:14 pm

If they are going into a collage Wells Fargo is pretty open with the student's credit cards. They will give them probably 300 as a start, but it will be almost for sure. The other thing is that the banks are not doing a research if the kids are really students or not. probably they not gonna ask even for e student ID, just come up with some student id number. make sure that it has the ssame format as a real collage numbers. DONT LET THE KIDS SPENDING THE MONEY AS THE LUNCH MONEY YOU ARE GIVING THEM. Thats what they are doing

Ism

Joined: 13 Feb 2008
Ism's page
Posts: 44

2506 Magic Points

Mon Feb 25, 2008 9:22 pm

Quote:

Hi please suggest how can I convert my favorite TV programs
Then view them at my time of convenience?

When I see posts like this, I assume they googled something and ended up here not realizing where they were. However, this one has me stumped - I wonder what her search term was AND if she'll ever find us again Wink

Google: My DVD player is 60 days late on it's car payment and the collectors are calling my TV

emanace78
Guest

Subject: add them to ur creditcard

Fri Mar 14, 2008 4:32 am

add them to ur creditcards as authurized users they will get a creditcard each, but dont give it to them, their credit would built from ur credit as long as u dont let them use the credit cards.

Fasfeed

Joined: 06 Feb 2008
Fasfeed's page
Posts: 87

3212 Magic Points

Mon Mar 17, 2008 12:50 am

This is considered adding on as authorized user or piggybacking. This method is no longer effective due to the fair issac act.This would have been my first option, but thanks for the post.

jmacus

Joined: 17 Mar 2008
jmacus's page
Posts: 5
Location: UK

179 Magic Points

Mon Mar 17, 2008 1:19 am

get them low limit credit cards, it's also important that they understand the dangers of credit cards if misused.

carol

Joined: 27 Jun 2006
carol's page
Posts: 375

10293 Magic Points

Mon Mar 17, 2008 10:17 am

Hi Jmacus

Welcome on board!! Its great to see you here.
I think a teen ager savings account can help.
_________________
Keep in touch
Carol

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