IDEAS
IDEAS IF
IDEAS IF YOU NEED TO BUY FOR THAT HARD TO SHOP FOR PERSON.
>> THAT'S ALL I WANT FOR
CHRISTMAS.
CHRISTMAS. >>> YOU MAY THINK GIVING A KID
A CREDIT CARD IS A BAD IDEA.
THEN WE SAT DOWN WITH ANGELA
SNYDER AND SHE TOLD US WHY
THAT'S EXACTLY WHAT YOU SHOULD
DO.
DO.
DO. >>
DO. >> YOU'RE HERE TO HELP US AND
HELP OUR KIDS.
YOU SAY WE SHOULD GIVE THE KIDS
CREDIT CARDS?
CREDIT CARDS? >> I KNOW, IT SOUNDS CRAZY,
RIGHT?
RIGHT?
RIGHT? BUT START OFF WITH FINANCIAL
LITERACY EARLY.
LITERACY EARLY. THOSE CREDIT CARDS DO NOT COME
IN WITH UNLIMITED MONEY.
START THE KIDS OFF YOUNG.
THERE'S CARDS THAT ARE
SPECIFICALLY FOR THEM.
I SAY CREDIT CARDS, BUT THEY'RE
NOT REALLY CREDIT CARDS.
DO YOUR OWN RESEARCH.
THERE'S GREEN LIGHT, GO HENRY.
YOU CAN ATTACH IT TO CHORES AND
CREATE AND HAVE THEM UNDERSTAND
THAT THE MONEY THAT'S ON THERE,
YOU HAD TO WORK FOR IT IN ORDER
TO GET THAT MONEY TO SPEND.
ALSO IF YOU GIVE THEM CASH,
THEY'RE LIABLE TO LOSE IT.
GIRLS DON'T CARRY PURSES, THEY
STUFF IT IN THEIR POCKET.
IF THEY LOSE THAT CARD, YOU CAN
SHUT IT OFF IMMEDIATELY.
YOU CAN ALSO PUT LIMITS ON THE
THINGS YOU WANT THEM TO
PURCHASE: SAY YOU DON'T WANT
THEM SHOPPING OVER HERE.
YOU CAN TURN THOSE VENDORS OFF.
>> I NEED THAT ON MY CARD.
>> I KNOW, RIGHT?
>> AND NOBODY IS TEACHING
FINANCIAL LITERACY FOR THE
YOUNG.
YOUNG.
YOUNG. MY
YOUNG. MY SON WAS 20.
HE'S GRADUATING WITH HIS
BACHELOR'S DEGREE IN
ACCOUNTING.
ACCOUNTING. HE GOES AND TRIES TO GET A
CREDIT CARD.
CREDIT CARD. HIS CREDIT SCORE IS 400.
THIS IS WHAT I'M INVOLVED IN,
AND I DIDN'T THINK EARLY ENOUGH
TO SAY, LET ME ADD HIM AS AN
AUTHORIZED USER.
AUTHORIZED USER. I DON'T HAVE TO GIVE HIM THE
CARD.
CARD.
CARD. I
CARD. I COULD HELP BUILD CREDIT FOR
HIM SO WHEN HE TURNS 18 AND
HE'S AND ADULT, WHICH WE KNOW
THEY'RE NOT YET, ALL THE CREDIT
CARD COMPANIES SEND THEM ALL
THESE CREDIT CARD APPLICATIONS.
THEY HAVE STUDENT LOAN DEBT,
CREDIT CARD DEBT BECAUSE THEY
WERE NEVER TAUGHT THAT CARD IS
NOT UNLIMITED MONEY, YOU KNOW?
>> YEAH, I SEE IT.
I DON'T HAVE THAT MONEY IN THE
ACCOUNT.
ACCOUNT.
ACCOUNT. >> AND HOW MANY TIMES HAVE YOU
BEEN LIKE, HOW DID THAT RACK UP
SO FAST?
SO FAST?
SO FAST? JUST THE LITTLE TRIPS TO THE
COFFEE SHOP, THE EXTRA WATER
AND COUPLE BUCKS ALWAYS ADDS
UP.
UP.
UP. >>
UP. >> AND ANOTHER THING I
RECOMMEND IS THE KIDS DEBIT
CARD, TURN ON THE AUTOMATIC
NOTIFICATION FOR THEM AND FOR
YOU SO THAT YOU KNOW.
EVERY TIME A CHARGE COMES
THROUGH, YOU WANT A TEXT
MESSAGE.
MESSAGE.
MESSAGE. ALL RIGHT?
ALL RIGHT? IT SOUNDS LIKE A PAIN IN THE
BUTT, BUT I ASSURE YOU IT'S
NOT.
NOT.
NOT. THE
NOT. THE NEW CARD HOLDER, WHETHER
IT'S THE TWEEN OR OLDER
STUDENT, THEY WILL SEE EVERY
TIME SOMETHING COMES THROUGH,
AND SO ARE YOU.
YOU DON'T REALIZE, WOW, WOW,
WOW, EVERY TIME YOU SWIPE IT,
THAT'S MONEY.
THAT'S MONEY. BUT IT'S JUST TRYING TO TEACH
THE FINANCIAL LITERACY BEFORE
IT'S TOO LATE.
>> THE WAY EVERYTHING IS GOING,
IT'S DIGITAL.
IT'S DIGITAL. >> THE MONEY IS JUST OUT THERE
SOMEWHERE.
SOMEWHERE. >> RIGHT.
>> RIGHT.
>> RIGHT. AND THEIR KIDS FOR SURE,
THEY'RE IN A DIGITAL WORLD AND
MAY NOT EVEN USE THAT MUCH
CASH.
CASH.
CASH. HOW
CASH. HOW MUCH CASH DO YOU KEEP IN
THE PURSE?
THE PURSE? >> NONE.
>> NONE.
>> NONE. >> NONE.
>> NONE.
>> NONE. >> I ALWAYS GIVE THE GIRLS THE
CASH AND THOUGHT THE ACT, LIKE
THE VISUAL ASPECT TEACHES THEM.
BUT YOU'RE RIGHT, HOW MANY
DOLLARS DROPPED AND PUT THROUGH
THE WASH.
THE WASH.
THE WASH. >> AND THEY HAVE AN APP, THEY
CAN USE THE APP WHETHER IT'S
THE YOUNGER KIDS OR ON A
TRADITIONAL CARD THEY CAN LOG
IN AND LOOK.
THEY'RE MORE DIGITAL THAN WE
WERE AND THEY'LL PROBABLY JUST
LEARN THAT WAY.
I UNDERSTAND THE PHYSICAL
PUTTING IT DOWN, BUT ALSO THE
PAYDAY OR ALLOWANCE DAY OR
WHATEVER YOU CALL IT IN THE
HOUSE.
HOUSE.
HOUSE. THAT DAY, I'M SURE THEY
RECOGNIZE AND REALIZE, THAT
MONEY IS COMING ON MY CARD.
IT'S A MORE ORGANIZED WAY.
IT SOUNDS CRAZY BUT I THINK
THERE IS GOOD IN TEACHING
FINANCIAL LITERACY TO NOT
CREATE CRAZY.
CREATE CRAZY. >> WE HAVE HAD THIS
CONVERSATION AND I SAID, THAT'S
NUTS.
NUTS.
NUTS. BUT
NUTS. BUT HAVING THE SPENDING LIMIT,
BEING ABLE TO TRACK IT, TURN IT
OFF AND LIMIT WHERE THEY CAN
GO, THOSE ARE BIG DIFFERENCES.
>> AND THE FACT THAT IT'S NOT
UNLIMITED.
UNLIMITED. >> THAT'S RIGHT, THE BIGGEST
LESSON THEY NEED TO LEARN.
ANGELA, THANK YOU VERY MUCH.
WHERE CAN WE FIND MORE?
>> LOOK FOR CREDIT CARDS