Comments on: Should You Co-Sign On Your Kid’s Credit Card?

By: Does Your Financial Future Look Gloomy? — P2P No Bank

Does Your Financial Future Look Gloomy? — P2P No Bank — Wed, 18 Feb 2009 16:11:55 +0000

[...] Should You Co-Sign On Your Kid’s Credit Card? Parents go through a lot of emotion and stresses during the freshman year of their child’s college career. It may even take a bigger toll on the parents than the student. Students have probably been waiting a long time to get out of the house and out from under the…… Online Stores [...]

By: Risk You Take When Co-Signing on a Credit Card | Credit Card Assist Blog

Risk You Take When Co-Signing on a Credit Card | Credit Card Assist Blog — Tue, 10 Feb 2009 07:55:35 +0000

[...] is better than their credit, there is a good chance that someone is eventually going to ask you to co-sign on a credit card or loan for them. For some people, this will be a teenager seeking to get a first [...]

By: Cosigning a Credit Card

Cosigning a Credit Card — Thu, 08 Jan 2009 17:49:58 +0000

[...] Our loved ones can be far from perfect. They could have made poor decisions that has negatively impacted their credit rating. As such, they are now coming to you, asking if you are willing to cosign for a credit card. This is a very hard place to be in. This card will help your family member with rebuilding their credit and getting their score up. The rub is that you are staking your credit score that they will treat their card right. You credit rating is rightly under your concern, especially if you ever want to apply for future credit, a loan, a car or house. How can you make this tough decision? [...]

By: Don’t Feed the Alligators » Blog Archive » Weekly Feeding 4-20-2008

Sun, 20 Apr 2008 11:44:00 +0000

[...] MyTwoDollars.com guest poster Tisha Kulak discusses the pros and cons of co-signing a credit application for your children (or anyone else for that matter). Most of the comments conclude that one should [...]

By: The Friday Gathering For 4/18/2008

The Friday Gathering For 4/18/2008 — Fri, 18 Apr 2008 10:26:13 +0000

[...] Should You Co-Sign On Your Kid’s Credit Card? – Good article on the thoughts around co-signing for your children. I wouldn’t, but of course I don’t co-sign for anything. [...]

By: Emily @ Taking Charge

Emily @ Taking Charge — Wed, 16 Apr 2008 22:00:14 +0000

This is a tough subject. I was an authorized user on my mom’s credit card account through some of high school and through college, and didn’t apply for my own credit card until the beginning of my senior year. I had never wanted or needed my own credit card until I learned through my boyfriend how important it was to build my own credit. So I got a student credit card through my bank and it was nice to be in charge of my own finances. If your child is new at college and doesn’t need a credit card, I wouldn’t co-sign on one. It’s the kid’s first time on their own, and they won’t have a parent there to tell them when not to make frivolous purchases. Especially if they haven’t had much credit education — this could lead to bad news, and with you stuck with most of the bills. I say wait until they’re a junior or senior, and let them apply for a student credit card in their own name. If they aren’t approved, then perhaps you can co-sign until they build enough credit. After a few years I would recommend them getting a card in their own name. So many college students are leaving with so much debt, why allow them to build up more, especially if they don’t need it? I agree it’s not a good idea for a first-year student to work, but after that, a part time job isn’t a bad idea.

By: 1stopmom

1stopmom — Wed, 16 Apr 2008 06:09:57 +0000

This is a subject that I have thought about and talked with my husband about at great length. I do not think it is a good idea to co sign anything for anyone. Not even my own children. I want them to understand the value of money and if I co sign for a credit card I do not see how that will teach them anything. Besides, I do not want them to make the same mistakes I did with credit cards. I do not want to encourage debt.

By: MITBeta @ Don't Feed The Alligators

MITBeta @ Don't Feed The Alligators — Tue, 15 Apr 2008 22:51:50 +0000

I don’t have a problem with co-signing for a credit card for a student, since it can help to build credit, however I would never do so as the FIRST lesson in personal finance. I expect to offer my kids “credit” as soon as they are old enough to understand it, so that when it comes to real credit they will already understand the advantages, disadvantages, and consequences.

By: David

David — Tue, 15 Apr 2008 17:12:28 +0000

I couldn’t agree more Llama Money!

By: Llama Money

Llama Money — Tue, 15 Apr 2008 14:41:31 +0000

I’m of the school that a parent should never, ever co-sign for a child, even for something as ( seemingly ) small as a credit card. If the child doesn’t qualify based on the bank’s standards, then why should they qualify based on my standards? Am I more financially astute than the bank? I don’t think I am.

Debit / Check cards work just fine for children / students. No reason to give them access to credit that they aren’t qualified for. If the bank says no, it’s for a reason.