Minors with credit cards?

She Devil · 04-11-2007, 10:52 PM

Well this is something new for the adult world to take in account. Much Music with mastercard has taken into their own hands to provide credit cards to Canadian youth 16 and under, to 13 years of age! Wow. Wish I had one when I was younger. But what does this mean for the adult community? Can't really say that having a credit card to access the website makes them 'of legal age' anymore. Or will billing companies make some way to track the type of credit cards to make sure ones like these aren't able to be used with adult companies? Your thoughts?

"Anyone 16 and over can get their own personalized MuchMusic Prepaid MasterCard® provided they pass our mandatory identity check and are able to pay for the card.

Teens 13-15 can get the MuchMusic Prepaid MasterCard if a parent or guardian buys the Card and takes financial responsibility for the Card. This situation is called a "Sponsored Card". The adult is the primary account holder, must pass the mandatory identity check and has control of the account."

read about it at MuchMusic

student4ever · 04-12-2007, 12:52 AM

got news for ya SD... kids as young as 13 have been able to get a VISA or MC card for a good long time. Now, they are technically ATM cards, but they work just like a CC going against a bank account so I don't think that the systems know the difference.

We recently signed my son up for a 'student account' with our bank and one of the options was for him to get a VISA ATM card. He just turned 14. Needless to say, in our house, he didn't get the VISA card.

Between things like this and kids being able to get their hands on Mom's and Dad's CC's, the ability to charge online has not been a reliable 'age verification' for quite some time.

Way3 · 04-12-2007, 07:25 AM

Although I agree that teaching kids financial responsibility is critical, I am not a fan of credit cards as to the method of teaching! I think that the financial institutions that are offering this, many times have alterior motives, with more concern about getting a customer early than the teaching of financial responsibility! Just my 2 cents worth!

BruceMiller · 04-12-2007, 08:33 AM

I got my son a prepaid MC when he was 13, it's how I load fund into for his allowance for doing work around the house. He has to invoice me for his work done around the house before I pay him. He's now had the card for about two years, so this isn't completly new. I do think it teaches them that plastic is still real money, and that he has to be able to know how much money he has available to spend. I personally think that too often an 18 yr olds gets a real card and they don't understand that fully... then he/she ends up charging it to it's max and starts a debt cycle that is unhealthy.

Cyndalie · 04-12-2007, 09:05 AM

Parents do have the option to get their kids ATM cards that are not mc/visa debit cards, and only work at ATM's. There is a difference, but most parents don't understand what, why, and who to ask for it. I've had an ATM card since I was 15, It wasn't until about 3-5 years later the changed the default system over to mc/visa logoed debit I think. Minor accounts can be restricted however, to only buy from certain merchant transaction codes which would keep them out of 18 and over purchases such as adult sites.

She Devil · 04-12-2007, 11:46 AM

I remember begging my parents when I was 11 to get a bank account and they finally said yes. I had to withdrawl from the teller for years because they didn't want me to have an atm card nevermind trying to convince them to get me a cc. I had to get a cc all on my own at 18. But I also think the fact I had to get the information and apply by myself helped me more responisibility wise then if my parents were to do it for me.

Everyone has their own way of teaching their kids responsibility, but I personaly would not be getting mine a credit card so young. Yes they do need to understand how to deal with their money but I think as teens they already have so much in the world around them spinning and changing and they shouldn't yet have to worry about all the crap adults do yet. I really don't think people need credit cards as much as they use them because they seem to do more bad than good to the average person.

Even I have gone back to using cash whenever I can in the last few years because with everything happening it's harder to keep track of when you debited for what and how much then if you've got a few bucks in your pocket to use.

Evil Chris · 04-12-2007, 12:51 PM

Credit puts the majority of society in debt for their entire lives.

Platinum Chris · 04-12-2007, 12:55 PM

I might have to go this route with my girlfriend. I got my first CC back when I started University. As she never went to Uni or College, she never got the chance on the student cards they suck you into.

So now, she's tried getting a card, but they come back saying no credit on file. Funny thing is, these moron card lenders send her the offer. What a waste of trees

TheLegacy · 04-12-2007, 03:18 PM

amazing how soon they start wanting to build your credit, at an age when responsibility in money hasn't fully developed. be interesting to see if CC are prepared to offer to the adult community a list of those under 18 card holders so we are able to verify that they aren't purchasing websites.

but somehow we are going to be blamed for allowing them to view content.

what will really make things surge is if the government has its way and free sites or content wont be readily available. re 2257