Credit

By Terry Savage on September 05, 2023 | Credit/Debt

I. Just discovered my college son has maxed out his Discover card. Three thousand . What is the best way for me to pay this and help him re-establish credit?

Terry Says

Whoa, don’t pay it — yet!!! Is he working? Can he afford the minimum monthly payment? Did you co-sign for him? Is he a minor? How did you discuss this in advance??

There is an important lesson in here. And if you can’t give it, he needs to learn from someone else. Have him call 800-388-2227, the National Foundation for Credit Counseling. That will connect him to the nearest local agency. He should make an appointment, and can do it on the phone. But HE needs to learn how to deal with this.

I repeat, the biggest mistake you could make is paying it off for him — until he’s learned his lesson!! Let him suffer and struggle and learn.

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