What Age Can a Child Get a Credit Card?

Credit cards are a tool for managing expenses and building a financial history. Federal regulations and card issuer policies dictate the specific requirements for obtaining a credit card, which vary depending on whether one seeks a primary account or access as an authorized user.

Minimum Age Requirements for Primary Cardholders

In the United States, individuals must be at least 18 years old to legally open a credit card account in their own name, as this constitutes a legal contract. For those between 18 and 20 years old, additional stipulations apply due to the Credit Card Accountability Responsibility and Disclosure (CARD) Act of 2009.

The CARD Act mandates that credit card issuers verify an applicant under 21 years of age has the independent ability to make required payments. This typically means demonstrating sufficient income to cover minimum monthly payments. While the law also allows for a co-signer, most major credit card companies no longer offer this option for primary card accounts. Therefore, young adults in this age group usually need to show proof of their own earnings.

Independent income for applicants under 21 can include wages from a job, regular allowances, or even funds remaining from scholarships and grants after tuition expenses are paid. The amount of income is not explicitly defined by law, but it must be enough to reasonably afford the minimum payments. These regulations aim to protect younger consumers from accruing unmanageable debt.

Upon reaching 21 years of age, the income and co-signer restrictions imposed by the CARD Act are lifted. At this point, applicants can report any income to which they have a reasonable expectation of access, including, for example, a spouse’s or partner’s income. This change makes it more practical for many young adults, particularly college students who may not have substantial individual income, to qualify for their own credit card.

Becoming an Authorized User

Individuals, including those under 18, can gain access to a credit card by becoming an authorized user on another person’s account. The primary cardholder grants permission, and the authorized user typically receives a physical card linked to the primary account.

The primary cardholder retains full legal responsibility for all charges made on the account, including those made by the authorized user. This arrangement means the authorized user is not legally obligated to make payments. Credit card issuers often have no minimum age requirement for authorized users, with some allowing individuals as young as 13 or 15 years old to be added.

Becoming an authorized user provides an opportunity to learn about responsible credit card use in a controlled environment. If the primary cardholder manages the account responsibly by making on-time payments and maintaining low balances, this positive activity can be reported to credit bureaus. This helps the authorized user begin building their own credit history, a process sometimes called “credit piggybacking.”

However, if the primary cardholder mismanages the account, such as by making late payments or carrying high balances, this negative activity could also reflect on the authorized user’s credit report. Not all credit card issuers report authorized user activity to credit bureaus, so it is advisable to confirm this policy with the issuer.

Establishing Credit as a Young Adult

Once an individual meets the requirements for a primary credit card, they can begin to establish their own credit history. Entry-level credit products are designed for those with limited or no prior credit experience. Two common options for young adults are secured credit cards and student credit cards.

Secured credit cards require an upfront cash deposit, which typically serves as the credit limit for the card. This deposit acts as collateral for the issuer, reducing their risk. Secured cards function much like traditional credit cards for making purchases, and the payment activity is reported to the major credit bureaus. When managed responsibly, these cards can effectively help build a positive credit history, and the deposit is usually refundable upon closing the account or upgrading to an unsecured card.

Student credit cards are specifically tailored for college students. These cards often come with lower credit limits compared to standard credit cards. To qualify, applicants must be at least 18 years old. Some issuers may also require proof of enrollment in an accredited educational institution.

Using either a secured or student credit card responsibly helps build a strong credit profile. This includes making all payments on time and keeping credit utilization low. Consistent responsible behavior establishes a positive credit score, which is important for future financial endeavors such as securing loans for a car or a home.