Child Received Credit Card; Underage?

Question

My child, 17, received a credit card in the mail [he used a fake birthdate, but his real SSN]; he spent 550 on it, but can only afford to pay 100 of it. I read in another post, http://answers.yahoo.com/question/index;_ylt=ApAYRFeaNcWTDznv96FE.5ojzKIX?qid=20060930190733AAEy61Z, that we can cancel the account.

Will he receive bad credit, though?

I can't afford to pay his debt. By law, though, does he have to pay that debt, since he was underage to sign such a contract?

Believe me, he's in trouble. Right now, though, I'm trying to get everything settled according to the law.

Answer 1

Well being that the child is underage it will not affect his credit score. For The company is actually suppose to investigate before issuing a line of credit. That is actually the companies lost because someone decided not to do their job that day. I am a insurance agent and that company has insurance called EOM coverage. Since that Employee made that mistake the company is covered.
Good Luck and God Bless

Answer 2

Canceling his account is the first necessary step. And now comes the lesson he set out to learn from himself...the effects of credit scores. Your job as parent is to teach not to bail out. Have him send in the $100, then make sure that he is making monthly payments until the rest is paid off. Contrary to the first response, I would contact the agency and explain the situation. They are as much at fault as they did not research the birthdate. They may give you/your son a break on the interest rate if you promise to have him pay it off.

Another way of handling it would be to make the payment (just to make it and the interest go away) and make your son pay you back. Maybe have him return some of the things he bought, or work it off in other ways. Just a suggestion.

Answer 3

As far as I know, and in my state, your son committed fraud. That is where I live. I would contact an attorney if I was in this situation as you do not want to alert the company that he lied to them in case it is fraud. Most attorneys will offer free consultation, at least good ones will.
In a fair world, both your son and the credit card company hold some responsibility, but unfortunately responsibility is not liability in the eyes of the law.
Good luck mom, I hope this helps!

Answer 4

I guess that is wrong is that he got 450 worth of debt that he can't pay right now?

I suggest he with the help of you to discuss with the card issuer on how he can pay off the debt, such as maybe paying 30 each month for the next 15 months or 90 each month for the next 5 months.


As for bad credit.

Well, he certainly already ruined his reputation in your eyes. Better improve on that one first.


As for he have to pay his debt or not.

If he didn't learn to pay now, he can't learn to be responsible.

Answer 5

In ALL US states a minor CAN sign a settlement. whether, the minor can't be sure with the aid of the settlement. they could have the the final option to return despite they won and demand return of something they gave. A hassle ingredient is mastercard FRAUD on your area. NO mastercard business corporation will difficulty a card to a minor, as a result you ILLEGALLY used the cardboard.

Answer 6

What would any parent of a minor do? Take the card away, destroy it & cancel it with the card company. You dont have to give them a reason for doing it since they might inform the authoroties which will lead to endless problems for you & your kid. If there is any money owed to that company, you should make your child pay for it himself. You can threaten to report him to the authoroties if he doesnt want to pay up. He must get a job to afford it. dont you help him out!

Answer 7

I don't know anything about credit and credit cards, because my parents were a fim believer that they were bad news, Why pay someone to use your own money. I guess you never taught your son that lesson. Anywho, I would tell him that if he thought he was old enough for one, then he's old enough to pay it off.