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"Americans are in debt, more than ever, today!" Newsweek Magazine. The average adults debt is around 30,000 by the age of 23." - US Census Bureau. My goodness, these stats and quotes could go on forever and ever. Unfortunately, these stats and quotes will continue forever more, until America wakes up!

I have heard many arguments in favor of giving teens credit cards. Some of my favorite- and the most overly used but least understood- include, credit cards can be tools to teach teens lessons about finances, credit cards are essential for emergency situations, and credit cards can be valuable rewards to reign in teens. While I hold back my chuckles, let's look at each of these arguments for- the load of crap that they are- and offer valuable insight about more beneficial methods of reaching the same goals.

Argument 1: Credit Cards can be tools to teach teens lessons about finances.

First and foremost, the idea behind this argument is ludicrous in and of itself. If you are still teaching a teen about finances, why on earth would you give them a credit card? Credit cards are often used improperly because of a lack of fiscal know-how. When people are uneducated about money and how to budget, they dig themselves- more often than not- into insurmountable holes. The "holes" lead to lives riddled with debt for years. The truth about credit cards is this: they are marketed mostly, to teens and young adults because those guys will make the credit card companies the most money! They are the most likely to spend well beyond their means; and they are the most likely to make only the minimum payments each month.Why does this matter? Well, if you ever get the opportunity, sit down and speak with a Financial Adviser. He or She will tell you, paying the minimum on a credit card and spending past 40% of your card's limit, keeps the individual in debt, just about, indefinitely.

Too, who pays the bill for this little lesson? Most often, parents pay the card bills for their teens, so what is being taught again? Oh, I get it...the teen learns that they can spend through the roof, get all kinds of trinkets and knickknacks and mom and dad may yell, but they still have the tab. Sure, the teen may loose the allowance and some "trust" but, ultimately, they got what they wanted, without the hassle of thinking about the repercussions. However, what if the teen pays the bill with their allowance? Again, the teen can spend beyond their means, mom and dad will foot out cash

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