A lot of the young people nationwide and in Florida that were teenagers when the housing market and economy collapsed may now be either in college or graduating from college. Research shows that these young people may be better at dealing with credit card debt than their parents. There are different schools of thought as to why this may be.
It is theorized that this may be due, at least in part, to them having to watch their parents struggle during the recession. Yet another theory is that they still have their parents “looking over their shoulders” to be sure they are being responsible. Finally, some say that it may be due to the passage of the Credit Card Accountability Responsibility and Disclosure Act of 2009 that made it more difficult for people under the age of 21 to obtain credit cards.
People under the age of 21 must now have either a co-signer or their own income in order to obtain a credit card. Further, it is now against the law for credit card companies to market their products to college students on campus. These requirements may limit a college student’s access to credit cards. However, this does not mean that older people are not being responsible with their debt, only that the younger generation may have had the advantage of seeing firsthand what can happen when debt becomes overwhelming.
Of course, there is no guarantee that younger people in Florida won’t get into trouble with credit card debt. When that happens, there are debt relief options such as bankruptcy that can provide them with a fresh start. Being young, they are likely to have the time and opportunity to start over to get reestablished and achieve financial stability.
Source: Forbes, Your Teen May Be Better At Managing Her Credit Card Than You Are, Samantha Sharf, Oct. 18, 2013