Credit problems starting at 16, worth it?

Question

Im 16 and about to drop $3,000-6,000 dollars on a Downhill freeride bike using my moms credit card. I work currently and im going to be putting 1/2 of my paycheck towards paying off the bike but my question is, is it worth it to be "in debt:" at only age 16??

Answer 1

i would go ahead and say no....i do the same thing just be patient and save up at least most of it....or your going to regret it

Answer 2

its not worth being in debt at ANY age, and right one dude ur DH free rider, so am i, i LOVE IT and love spending money on my bike and parts ha

Answer 3

Actually, I think it's great that your mom is willing to help you do this.   As far as credit problems....you won't have any personally.  You're a minor, and you're putting the purchase on her card...so if there are any troubles with late payments to the credit card, it goes on her credit, not yours.  

If you really want the bike and it won't be a waste of time/money for both of you, then go for it.  It can be a good way to learn good business transaction habits and to get a taste for "real" adult finances that you'll need to know later on when you're on your own.   Just be sure that before you commit yourself to dropping half of your paycheck that you actually have enough money left over for your other obligations and necessities....and fun money, too, unless you're willing to forego fun money while you're paying off your bike.   Just remember that even though this may be an informal agreement between family members, you're still committing to a responsibility.   If the time comes when you resent that payment for the bike you already have...keep that in mind and honor your commitment.

If you were my teenager and we were doing this, I'd be sure to set things up so that if you defaulted on me, you'd have some penalties and/or responsibilities of some kind....just as you would in real life as an adult.  I'd also make you responsible for the resulting late penalties or overlimit fees that might result from your failure to pay on time in the agreement.  There are intangible costs to your mom when she suffers bad credit reports, and they'll last a long time, possibly costing her money in the future in other financial dealings...but the least she could do is to make you pay any upfront penalties, y'know?  

You may not be too keen on that, so you can work that out with your mom only if you want to.   lol   :o)  

On the other hand, there are some great lessons and rewards that come from simply saving up enough money to pay cash for the bike and doing it all on your own.  There's a lot to be said for doing things that way.  Sounds like the choice is up to you, and that's a nice position to be in!  

Enjoy the new bike, whenever and however you get it!   :o)

Answer 4

you would be better off saving the money yourself and when you have enough money you may purchase the bike then instead putting it on mums credit card

Answer 5

Is it worth it? Does not matter anymore because you already made a the purchase. Just take it as a learning experience and avoid it in the future.