How old do you have to be to get a credit card with a parent?

By | December 12, 2021

You may be wondering How old do you have to be to get a credit card with a parent. Well, the answer is 21 years or below! However, 16-year-olds can also qualify for a credit card with a parent’s permission. 

According to the CARD Act of 2009, in order to apply for a credit card, you must be at least 21 years old. However, the law provides an exemption for individuals who can demonstrate that they have the financial resources to pay off their credit card debt without assistance.

This is where parents come in – they can cosign on a credit card application for a child as young as 16.

This exception is well-justified, too! Credit cards have a lot of advantages for young people, such as establishing a good credit score early in life. A strong credit rating will assist you in getting lower interest rates on auto loans, mortgages, and other sorts of loans in the future.

So if you’re under 21 years old but want to start building your credit history, talk to your parents about getting a cosigned credit card. It could be one of the best decisions you ever make!

Let’s take a look at some more queries that people ask about this issue after we’ve answered the question of how old you must be to receive a credit card.


What’s Ahead


How old do you have to be to get a credit card with a parent
How old do you have to be to get a credit card with a parent

Benefits of Credit cards and their benefits for young people

The advantages of using credit cards for teenagers are numerous. Credit cards might assist young people in building their credit score, being responsible, and handling their cash flow. If not handled correctly, credit cards may result in debt, which is unpleasant because this form of loan typically has higher interest rates than other loans (e.g., mortgages).

As a result, Credit cards may be seen as desirable when establishing a credit history or paying off other types of loans with higher interest rates than Credit card rates in the United States. Here are the benefits in summary.

  • Build Credit and establish a good financial foundation. 
  • Manage your cash flow more efficiently. 
  • Be responsible and avoid debt.
  • You’ll be able to do anything you want with the money in your pocket!
  • Be responsible and take control of your finances now to avoid problems later on in life.

What are some pitfalls of using Credit for young people?

One of the biggest dangers for young people regarding credit cards is racking up too much debt. Credit card companies prey on people who don’t understand how Credit cards work and will offer them a high limit before they’ve had time to build a good credit score.

If you’re not careful, you can quickly find yourself in over your head, drowning in Credit card debt.

Another pitfall is spending frivolously on things you don’t need with Credit cards. Credit cards are great if used the right way by building a good credit score and being responsible but can be dangerous if young people constantly find themselves paying for items they wouldn’t have bought otherwise or that were not worth the Credit card debt that came with it.

Credit cards are great but can also be dangerous if not used properly.

Who should get Credit cards?

If you’re responsible, have a job or other reliable source of income, understand how Credit works, and want to establish good Credit while responsibly managing your cash flow, Credit cards may be right for you!

If you’re not responsible, Credit cards are probably not the best option for you. Seek out other types of loans with lower interest rates until you can prove that you can handle Credit card debt responsibly.

How to Get a Credit Card If You’re 18 to 20 Years Old

Getting Credit Card offers at 18 years old is not easy. Credit card companies usually require that applicants be 21 or older and have a stable source of income with a good credit score before they offer them Credit cards.

However, some Credit card companies may make exceptions for young people if their parents cosign the application to vouch for their Creditworthiness. Credit card companies may also require a cosigner if the Credit card applicant is under 21 and still in college or does not have a job with a steady income to show that they can pay back Credit card debt responsibly over time.

However, if your parents cannot cosign for you, there are other ways to get a Credit card. Here are some tips for getting a credit card even if your parents cannot cosign for you.

(1). Apply for Secured Credit Card –

A secured Credit card is a Credit card backed by Security Deposit. This type of Credit card usually has a lower limit and higher interest rates than other Credit cards, but it can be a great way to start building your credit history.

A credit card normally requires $500 or more as a security deposit at the time of application, but Credit card companies may make exceptions for young people.

For Example, Open Sky Secured credit card is a Credit card available to people with bad credit or no credit. This Credit card requires a Security Deposit of $200-$500, which will be refunded to you once you close your Credit card account.

There are many different types of Credit cards available, so it’s important to do your research before applying for any Credit Card.

(2).Look into Credit Unions

Another way to get a Credit Card is by looking into local Credit unions. Credit unions are usually not-for-profit institutions that help their members and sometimes offer special rates or credit cards only available to Credit union members.

(4).Become an Authorized User on Credit cards

Suppose your parents cannot cosign for you with Credit card companies. In that case, another option is to become an authorized user on their Credit card account.

Authorized users can make purchases using Credit cards but don’t have any responsibility or liability in case of debt. However, there may be some fees associated with using Credit cards for authorized users.

Becoming an Authorized user can be a great way to establish Creditworthiness and start building good Credit while staying within your parents’ Credit limits.

If you don’t want to use your parent’s Credit cards, ask them if they would consider adding you as an authorized user on one of their Credit card accounts (if possible).

Credit Karma has published a thorough blog post about the minimum age and credit card companies that provide authorized users to teenagers. If you’re curious about Credit Cards and want to learn more, I recommend visiting their website.

(5).Apply for a Student Credit Card

Many Credit card companies offer Credit cards specifically for students. Here are some examples of Credit Card offers available to college-bound students with limited credit history:

Discover it® Student Cash Back Credit Card offers 0% purchase APR for six months and a 5% bonus cashback rate of up to $1,500 per quarter in purchases.

How to Get a Credit Card If You’re At Least 21 Years Old?

Without a cosigner, anyone aged 21 or older can apply for a credit card on their own. To be eligible for most services, applicants must be at least 21 years old, and those under the age of 21 must have a cosigner or utilize a secured credit card to get approved.

There are several ways young people can obtain their own credit cards if they meet the age requirement. Credit card companies usually want to prove that the applicant can responsibly handle Credit and will likely require a job with a steady income or be enrolled in college.

Even if you have no credit history, you may apply for a credit card. For more information, see Credit Cards for People with No Credit History.

Who is eligible for a Credit Card under the CARD Act of 2009, and how can they apply for one if they’re underage without their parents’ permission.

The Credit CARD Act of 2009 states that applicants under 21 years old must have a cosigner or use a secured card to get approved for a Credit Card.

A cosigner is someone who agrees to be responsible for the Credit card debt if the primary cardholder cannot pay. Most Credit cards will require you (the applicant) to be at least 21 years old to apply without a cosigner.

If you’re not yet 21, don’t worry! You still have options when it comes to Credit cards. Many Credit card companies offer Credit Cards specifically for students. Here are some examples of Credit Card offers available to college-bound students:

How does getting your Credit Card to help you establish good credit early on in life?

Credit Cards are one of the most effective ways to build Credit. Credit cards allow you to prove that you can responsibly handle credit by making on-time payments and keeping Credit utilization low (the amount of available Credit being used).

Building good credit as a young person is important because it will help you establish credibility with lenders in the future, and Credit scores will determine what Credit is available to you and at what rates.

Some Credit Card issuers offer Credit Cards specifically for people under 21 years of age. Usually, to be eligible for one of these Credit Cards, you must have a parent or guardian as a cosigner on the account.

What happens if I don’t pay my Credit Card bill – will it affect my future ability to borrow money from other institutions like banks or mortgage lenders?

If Credit Card payments are not made on time, your Credit scores will be negatively impacted. As you build credit history with lenders and make timely loan repayments (including credit cards), the Credit reporting agencies update their Credit files to reflect this positive behavior. Late payments can stay in your credit file for up to seven years; however, if you have a Credit score, these negative marks can be outweighed by positive Credit history.

Some parents are hesitant to apply for their child’s first Credit Card because they are afraid of what may happen if the Credit Card isn’t paid on time or at all. However, with a responsible Credit card issuer willing to consider applicants under 21 years old, this should not be a problem.

If you’re looking for a Credit Card to help establish Credit, there are plenty of options, even if you’re not yet 21 years old.

Compare Credit Cards and find the one that’s best for you. With responsible use, your Credit score will reflect your good financial behavior, and you’ll be on your way to Credit success. Credit Cards are one of the most effective ways to build Credit. Credit cards allow you to prove that you can responsibly handle credit by making on-time payments and keeping Credit utilization low (the amount of available Credit being used).

Building good credit as a young person is important because it will help you establish credibility with lenders in the future, and Credit scores will determine what Credit is available to you and at what rates.

Advice on what steps parents can take if they want their child to have one.

As a parent, you may be wondering how old your child needs to be to get their credit card. The good news is that there is no specific age requirement, as each bank sets its policies.

However, it’s important to keep in mind that most banks will want the child to be at least 18 years old before issuing them a card. Credit cards are not for children, so your child shouldn’t be given one to play with. Credit should be taken seriously and used responsibly by adults only!

When deciding whether or not to give your child credit, many factors need to be considered first.

You need to consider a few factors before giving your child a credit card. Some of these factors include:

  • Will the child be able to use the card responsibly?
  • Does the child have a job, and are they receiving an allowance?
  • What is the child’s credit score?
  • How much money does the child have saved up?
  • How much debt does the child already have?

Parents can help their children use Credit responsibly by setting guidelines and restrictions on spending. Many great apps are available that will allow parents to monitor where, when, and how their children spend money. Credit card companies also offer educational tools for teaching kids about finances which you may find helpful.

Pros and Cons of having your own credit card before 18

Credit cards are a great way to build Credit and establish financial responsibility. Credit card companies can offer you rewards, cashback bonuses, and special financing if your monthly payments are on time. You also have access to purchasing power that may be denied if you don’t have any other form of ID or collateral available (e.g., checking account).

However, the downside is that this type of loan has high-interest rates attached, which can lead to debt quickly accumulating for those without discipline when spending money they do not possess. If you’re under 18-years old, then it’s unlikely that anyone will approve you for a credit card unless their parent cosigns with them – even though some people might feel like they should apply anyways.

It might be a good idea to wait until you’re 18-years old and have graduated high school before applying for your own credit card. Then, you will have more earning potential and a better credit score which could lead to getting approved for cards with lower interest rates and better perks. Until then, make sure you know how a credit card works and what your responsibilities will be before signing up.

Final Thought

 When we think of credit cards, we often associate them with people who are 18 or 21 and over. But did you know that there is a way to get your first credit card at 16? Young consumers need to learn about the importance of building good credit early on in life.

If you have any questions or need help getting started applying for a new credit card, please let us know! We would be happy to talk more about this topic and answer any questions. 

Please leave your comments below, and we will answer them promptly!

FAQ

  1. How old do you have to be to get a credit card in Georgia?

    Twenty-one years old to be able to apply for a Credit Card on your own in the state of Georgia. However, if you are younger than 21 but over 18 years old, you can still get a Credit Card with a parent or guardian as an authorized user. This means that the Credit Card will appear on both of your credit reports and affect both of your Credit Scores.

  2. Can you get a credit card under 18?

    There is no definite answer as to whether or not you can get a Credit Card when you are 18 years old. Credit Card issuers typically set their own age requirements, and most will require that you be at least 21 years old in order to apply for a Credit Card on your own. However, if you are younger than 21 but are over 18 years old, you can still get a Credit Card with a parent or guardian as an authorized user. This means that the Credit Card will appear on both of your credit reports and affect both of your Credit Scores.

  3. Do I have to be an adult before applying for my own card?

    No, you do not have to be an adult before applying for your own Credit Card. Credit Card issuers typically set their own age requirements, and most will require that you be at least 21 years old in order to apply for a Credit Card on your own. However, if you are younger than 21 but are over 18 years old, you can still get a Credit Card with a parent or guardian as an authorized user. This means that the Credit Card will appear on both of your credit reports and affect both of your Credit Scores.

  4. What is the best way to get a Credit Card if I am not yet 21?

    If you are not yet 21 years old, the best way to get a Credit Card is by becoming an authorized user on a Credit Card account that is held by a parent or guardian. This will allow you to start building Credit at an early age and will help improve your Credit Score.

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Author: Dhiraj Jha

Hi, I am Dhiraj Jha— the founder of a leading personal blog website. I’m an experienced financial expert pursuing my main in personal finance. I have completed my graduation from the Institute of Chartered Accountants of India (ICAI). I always wanted to do something big and better, and today I’m here with my passion for helping people utilize their resources wisely. I love to acquire, review and earn reward points/cashback from credit cards, which help me travel worldwide and stay in luxurious hotels. 

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