When I started my first job at 16, I worked for a retail department store. In order to recieve the store discount I needed a credit card. Without knowing, I signed the form and a card was sent to me with a credit limit of 1,400 dollars. Now, I'm 19 and owe over a thousand on it. Without an adult signature on the contract do I legally need to pay this or is what they did illegal?
I'm looking at renting and going back to school and this card is now charged off and is messing up my credit report.
Thanks!
2007-05-17 17:36:33 · 8 answers · asked by Peanut 1 in Business & Finance ➔ Credit
Legally, a minor can't sign a contract. However, you've been paying on the debt during the age of 18. So, you've legally accepted the obligation. You owe the debt.
2007-05-17 17:41:21 · answer #1 · answered by Zeltar 6 · 2⤊ 0⤋
A minor can not be held liable when it comes to a contract and had you not yet been of legal age, you could have voided this transaction. However, now that you are of legal age, you are liable in spite of the fact you signed the contract as a minor. Once you turned legal age, the contract was binding as an adult since you had not voided it before becoming an adult in a legal sense. You entered into a contract, for them to lend you money and you gave your word that you would pay the loan back. There are only two ways to get out from under this entry into your credit report, pay them off or file for bankruptcy to discharge the debt. Both will eventually remove this item from your credit report. There is a statute of limitations, 3 or 6 years depending on the state where you reside. Within this window, they can take you to court and obtain a judgment against you and go so far as to garnish your wages. Outside of this window, they can not sue you, but that does not absolve you of the debt, so you have a gift which keeps on giving, an entry on your credit report which will be there until the day you die, and they can collect from your estate, or it can be removed by paying the debt or declaring bankruptcy and having the debt discharged. It isn't worth it. You are already finding this out the hard way. What does the phrase "charged off" mean? Did you go to court and declare bankruptcy? Bankruptcy is the only way a debt such as this can be discharged. Your best option is to contact this company and negotiate a repayment plan and pay off the debt. Many credit card companies will work with you to repay your debt over time and once you do, you are off the hook. You gave your word, doesn't your word mean something to you? The credit card companies WILL work with you since then, they will get their money, albeit, late. They are in it for the profit they will make and their greed to get the profit makes them want to get something rather than nothing, so they will have an incentive to work with you if you are willing to work with them.
2007-05-18 01:32:32 · answer #2 · answered by rowlfe 7 · 0⤊ 0⤋
If you got the card when you were 16 but have been paying since you were 18, you set the legal trend of paying off the debt as your own, if you tried to get out of it, all that would be needed was prrof that you had been paying the bill for the past 3 years and are now of legal age to be held responsible for your debt.
PS: Walking out on your debt, that's stealing.
2007-05-18 09:02:41 · answer #3 · answered by Blicka 4 · 0⤊ 0⤋
Look - you used the card - you owe the debt. It is real simply. Just because they issued you a card did not mean you had to run it up. And yes without an adult co-signer you still owe because you used it.
You should feel lucky, most kids cannot get a credit line in the beginning. You started off early and mishandled it. Clean up your debt and get over it. The rest of us did in the past.
2007-05-18 00:47:49 · answer #4 · answered by Carl P 7 · 2⤊ 1⤋
It is illegal for them to give you a card! However, because you did get one it will still look bad on your credit report. What they did is still illegal. I would write the company tell them it is illegal and tell them to pay the debt and fix your report. This is what you demand or you are going to get a lawyer. I hope you didn't use it after you turned 18 because you could be held reliable for those charges. I have known people that tried to get a card before they were 18, wasn't approved because of age and just applying ruined their credit. Showed up on their report that they tried to get credit before being 18.
2007-05-18 00:42:09 · answer #5 · answered by Peggy Pirate 6 · 0⤊ 2⤋
Listen, you purchased products and you owe for that debt so you should do the right and honorable thing and pay it. May, I suggest a site that you can learn how to take care of your credit issues. http://www.thecreditrepairmanual.com
2007-05-18 08:44:16 · answer #6 · answered by Anonymous · 0⤊ 0⤋
legally and morally you owe the debt . you learned a hard lesson
2007-05-21 03:22:05 · answer #7 · answered by tennessee 7 · 0⤊ 0⤋
cut your credit card in half and pay back your debts.
pay cash and only spend the money you have in your pocket.
you spent that money. Why you shouldn't pay back the money?
your attidude is wrong!
change your habits.
2007-05-18 05:06:09 · answer #8 · answered by Vampir V 3 · 1⤊ 0⤋