Credit Scores as Important to Teens as SATsBy the time they turn 18, about one in five high school students already has a credit card. A federal bankruptcy judge is trying to keep students out of his court in the future by teaching them about credit scores and other borrowing basics.
By the time they turn 18, about one in five high school students already has a credit card. And they're not shy about using it. Credit card debt among young people roughly doubled during the 1990s. And so did the number of 18- to 24-year-olds filing bankruptcy.
Federal bankruptcy Judge John Hargrove got tired of seeing bankruptcy filings from such young debtors. So he's giving high school students in San Diego, Calif., a crash course in using credit wisely. Hargrove's program is called CARE, which stands for "Credit Abuse Resistance Education."
"It's not bad to have a credit card. It's just wise to know what you're doing," says bankruptcy attorney Jeffrey Schreiber, who participated in a recent CARE presentation along with Hargrove.
Below is a quiz Hargrove uses in the program.
Credit Abuse Pop Quiz
Take a quiz about buying on credit and test your consumer knowledge.