Fri, Jul 20, 2007
The Straits Times
Let students have $500 credit card?
YES
‘WHY not?’ This was the response of eight parents out of 40 polled, who said that in an increasingly cashless society, teenagers can be trained to use credit responsibly, starting with a credit card with a $500 limit.
After all, $500 is ‘a small sum’, said Mr Don Tan, 53, a businessman who gives his two teenage children $700 each in pocket money every month….[…]
Indeed, a Credit Bureau of Singapore study showed that the proportion of credit card holders here aged between 21 and 29 who missed at least one payment last year was 6.6 per cent, lower than the overall national average of 8.14 per cent….[…]
NO
GETTING a credit card with a $500 limit was a definite ‘no go’ for Glen Chew, 24, a student at the Singapore Management University (SMU).
‘I prefer to spend within my means, ………….
The $500 credit card, by contrast, may encourage ‘irresponsible spending’, said accountant Tan Lee Wen, 46.
Another parent, engineer Richard Teo, 48, felt the $500 card could attract mainly those who do not have a supplementary card and also may not have enough in their savings accounts……….
‘These kids would have a higher risk of default since they are clearly borrowing beyond their means,’ he said.
Click here to see FULL article.
Other Related Articles:
- Rich Money Habits - #4
- Credit tips
- 12 tips for managing your parents’ finances
- She borrowed $50,000 from parents to fund her shopping
- Rich Money Habit #6: The Rich Plan their Retirement, The Poor merely HOPE they can Retire
Other Updates in Library
- Rich Money Habit #12: Orrie the Ostrich
- Rich Money Habit #11: Philly the Peacock
- Rich Money Habit #10: Your Belief Systems Will Determine Whether You Become Rich, or Remain Poor
- Rich Money Habit #9: If You Want Different Results, You Would Have To Do Things Differently
- Rich Money Habit #8: The Rich work at building Wealth, the Poor merely try to survive
Email to your friends
Nice article,I love it, Thansk for sharing