As it stands, this bill seems to be telling me that I am old enough for student loan debt – which will total $40,000 or more for me, personally – but not for a $1,000 limit credit card. If I have to wait to get a credit card until I am 21, I will be graduating within 8 months of receiving my card. I think, if 18 is going to be the legal “adult” age, it should be treated as such.

@Kate: True no one is going to force parents to do it, but how many parents have intervened thus far? Probably not many. Hey Mom, just sign this from. I think going through college with responsible credit card use can be equally beneficial.

@April: Since when were parents responsible? Where did these kids learn these habits?

@Erica: Looks like it already passed.

@Roger: I am pretty much against government intervention in most parts of our lives. So I agree to disagree.

@Stephanie: Education is key… but heck, the government can’t run the government correctly (see the $10 trillion debt)… so I don’t think we can count on them to educate us on finances, either!

As I said in my comment over at Man vs. Debt on the subject: When I got into credit card debt, it wasn’t because I was 20 (and not 21!), it was because of my situation – I was going to a school that was too expensive for me, and I was going into credit card debt to pay for my school projects and groceries. The fix for that would not have been to prevent me from getting a card, or to bring my mother into it (she knew full well that I had a credit card, and knew that I got it to build a credit history), but education in high school that would have prepared me to know whether a particular college was too expensive for me.

As for the rules regarding under 21 credit users, I think the new rules are appropriate. If cards are issued to students with no (or insufficient) ability to repay them, the assumption on the part of the credit card company is likely that the Bank of Mom and Dad will come to bail them out should they default. The cosigner requirement just means that the parents will be informed and know about the credit that their children have outstanding now.

-Who says they do? Is little Jimmy going to hold a gun to mom & dad’s head to get them to cosign for a credit card? If parents have kids who aren’t responsible at that age, they’d know that better than the banks would. So they shouldn’t facilitate them getting a card. If they decide to get their irresponsible child a credit card anyway, and co-sign for the debt, then I guess they *should* foot the bill.

I don’t think going through college without credit is going to kill anyone. Most people over a certain age did exactly that. Maybe if that became the norm again, our overconsumption would decline and we’d see people behaving more responsibly with their finances in general. That could only be good for our economy *in the long run*. Overconsumption and easy credit have obviously done us no favors.