This week on our #AskAllie segment with Allie Hausfeld, the Face of Fox 36, a listener wants to know if he should get his 10-year-old daughter a credit card like his wife is insisting.
My short answer is NO! But, some parents are doing it. 8% of parents have given their kid a credit card. But, there are dangers. 21% of kids have used that card without permission at least once.
There are good things about your child having a card: they have it for serious emergencies, it can teach about responsible spending, it shows you trust them, and it might help them learn how credit works so they're more financially responsible as an adult. But, on the down side, it can lead them to becoming reckless with money, they could max out the account (which hurts your credit score and theirs), and they could use it to buy things you can't afford.
Plus, that seems young to me, but what do I know? Here's the advice we gave Gary when he called to #AskAllie today.