At What Age Can You Get A Credit Card?

The minimum age for getting a credit card is 18. However, if you’re under 21 years old and want to build credit with a credit card, you’ll likely have to prove your income and your ability to pay your card balance in order to qualify. Or, you might be able to add a co-signer who can help you earn approval from a credit card issuer.

In any case, it’s possible to build the credit you’ll need to eventually get approved for a traditional credit card even if you don’t qualify for one immediately. Let’s explore some ways you can put the wheels in motion to become credit card-approved sooner rather than later.

Consider Alternative Credit Cards

Being 18 or a little older doesn’t mean you’ll automatically qualify for a credit card. Banks and financial institutions usually tread cautiously with lending credit to young people who have little to no credit history and haven’t had time to build their credit score and overall credit profile.

If you’re under age 21 don’t have the credit to qualify for a traditional credit card, it could be wise to be aware of the following options.

Secured Credit Cards

With a secured credit card, you put down a cash deposit to back up your credit. A credit card issuer is more likely to offer you credit if it’s secured by cash, which the issuer can use later to essentially reimburse itself if you don’t make your credit card payments in a timely fashion. A secured credit card can be a great option for 18-year-olds who otherwise might not be able to open a new credit card account.

Student Credit Cards

Specifically geared toward students, a student credit card can help young people build a credit history. This type of card tends to come with a lower credit limit and a higher interest rate than a standard credit card. On the plus side, having a lower credit limit can help students manage their debt responsibly while they still enjoy the benefits of rewards and bonuses such as cash back.

Other Options For Opening A Credit Card Account

With the help of a parent, guardian, friend or perhaps another family member, you may be able to open a new credit card account or utilize an existing account to help build credit.

Become An Authorized User

If you don’t qualify for a credit card and you’re under age 21, a parent, legal guardian or even a friend can opt to make you an authorized user on their card. Being an authorized user can allow you to start building a credit profile.

As an authorized user, you can legally use the credit card but you won’t be legally responsible for making payments on the credit card account. Keep in mind, also, that you don’t legally have to be 18 or older to become an authorized user, but the credit card issuer could enforce an age requirement.

Add A Co-Signer

A co-signer is someone who isn’t the cardholder but agrees to be fully responsible for paying the credit card in the event that you fall behind on payments. The benefit of having a co-signer is that it gives you a higher likelihood of being approved for a credit card if you have little or no credit.

And, because the card is still in your name, you can build your credit over time. Just keep in mind: Since the co-signer is just as financially responsible as the cardholder for making sure payments go out on time, the co-signer’s credit will be jeopardized if you fail to make on-time payments. As a result, your relationship with the co-signer could be damaged just as much as their credit.

Co-Signer Vs. Authorized User

Here’s a breakdown of some of the key differences between an authorized user and a co-signer.

How To Get A Credit Card

The process of applying for and activating a credit card is fairly straightforward. Here are the steps you’ll need to take:

• Determine the type of card that’s best for you. First, check your eligibility to see what cards may be a good fit for you. Then, compare card terms such as fees, rewards and interest rates – usually measured in annual percentage rate, or APR.
• Apply for the credit card, with a co-signer if necessary. Once you’ve found a card that’s a good fit, fill out an application. If you don’t think you’ll be able to get approved for a card on your own, consider adding a co-signer to the application to boost your chances.
• Receive approval from a credit card issuer. The issuer will consider your financial information (and the info of your co-signer, if applicable) before approving your request. You’ll receive notification of approval or denial within 30 days of your application submission, but you could be notified of your status as quickly as 1 week.
• Review the credit card terms and details. Once approved, review all of the terms and details of the agreement before moving forward. If everything looks good to you, sign any paperwork necessary to proceed with your approval.
• Activate your new credit card. Once you receive your new card in the mail, you’ll need to activate it before you can start using the new account.

FAQs About The Minimum Age For Credit Cards

Can I open a credit card if I’m under 18?

No, the minimum age for a credit card account is 18 years old. However, if you’re younger, you can potentially be added as an authorized user on a parent or guardian’s account.

What are my credit card options if I’m under 21?

As a younger applicant, you’ll likely need to provide proof of income or get a co-signer to have your application for a traditional credit card approved. As an alternative, you can see if someone will be willing to add you as an authorized user on their already existing credit account.

Are there other credit card options?

If you can’t get approval for a traditional credit card, you could opt for a secured credit card, where your credit is secured by collateral. Another option for students is a student credit card, which is geared toward those getting a higher education but has some restrictions on how it can be used.

The Bottom Line: Getting A Credit Card Is A Good Way To Start Building Credit

Opening a credit card account and paying your monthly bill on time is one of the best ways to build credit. The higher your credit score, the more likely you’ll be in the future to qualify for personal loans, auto loans and eventually a mortgage. So, the sooner you start building your credit, the better.

For help with tracking your spending and managing your credit, download the Rocket Money℠ app to access your complete credit report and set up a budget that makes it easier to manage your money.