Did you know there is no official age at which credit reporting agencies begin compiling information about children? Unfortunately, many parents assume this occurs at age 18, which isn’t always true. As such, when your child applies for their first credit card, you may be shocked to discover they have a considerable amount of debt on their credit report that they are not responsible for. If this is the case, the following blog explores how this can happen and what your options are to help improve your child’s credit with the assistance of an Arroyo Grande consumer lawyer.
What Should I Know About Debt On My Child’s Credit Report?
If your child has debt on their credit report, it’s important to understand the potential causes. The first thing you should consider is whether or not your child is an authorized user on one of your credit cards. Many parents will grant this permission to their children to help them build credit before applying for things like student loans or their own credit cards. If this is the case, the card they may be an authorized user of may have debts associated with it that reflect on the child’s account.
In the event your child is not an authorized user of your credit cards, they may be a victim of identity theft. Unfortunately, children are often the “perfect” victims for those looking to commit this crime. Not only do children typically have clean credit scores, but they are also unlikely to check reports for years. This means the crimes can go unnoticed for years, increasing the likelihood the perpetrator will get away with their offense.
How Can I Dispute That My Child is in Debt?
Finding debt on your child’s credit report can be unnerving, especially when you consider the impact it can have on their financial future. If this is the case, understanding your legal options is critical. If you believe your child is the victim of identity theft, understanding how to proceed is critical.
The first thing you should do to help protect them is place a credit freeze on their account. This will help prevent any additional accounts from being opened in their name. Next, you should file a police report and a report with the Federal Trade Commission. Both of these steps can help when disputing the inclusion of this information on your child’s credit report.
Filing a dispute on your own can be frustrating, as forgetting to include one piece of information or including too many details can result in the dispute being dismissed. As such, it’s in your best interest to connect with an experienced consumer attorney from Loker Law, APC. Our team understands how difficult these matters can be, which is why it’s in your best interest to connect with an experienced member of our team. Contact us today to learn how we can help you and your child in these frustrating times.
