Comments on: Is this credit card fraud? http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm Wed, 08 Sep 2010 00:53:10 +0000 http://wordpress.org/?v=2.7.1 hourly 1 By: Craig http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm/comment-page-1#comment-1560 Craig Tue, 01 Dec 2009 18:32:34 +0000 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm#comment-1560 I'm sorry to hear about your friend. She can always call the number on her paperwork to cancel the card, even before it arrives in the mail. If she doesn't use the card, then she won't owe any money for it, unless there's some sort of annual fee. Otherwise, she won't get in trouble for opening it. What she did is not credit card fraud in the sense that banks and the gov't look at it. It could be a good idea for her to leave the card open though. She can always call to update her correct date of birth once she turns 18. By leaving the account open and managing it well, she will start to establish good credit which will benefit her greatly once she turns 18 and for the rest of her life. You need to be 18 to open credit accounts, because you cannot legally enter into a contract under age 18. But if your friend can get a good head start on managing credit well, then like I said she will benefit greatly. I’m sorry to hear about your friend. She can always call the number on her paperwork to cancel the card, even before it arrives in the mail. If she doesn’t use the card, then she won’t owe any money for it, unless there’s some sort of annual fee.

Otherwise, she won’t get in trouble for opening it. What she did is not credit card fraud in the sense that banks and the gov’t look at it.

It could be a good idea for her to leave the card open though. She can always call to update her correct date of birth once she turns 18. By leaving the account open and managing it well, she will start to establish good credit which will benefit her greatly once she turns 18 and for the rest of her life.

You need to be 18 to open credit accounts, because you cannot legally enter into a contract under age 18. But if your friend can get a good head start on managing credit well, then like I said she will benefit greatly.

]]> By: MadMan http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm/comment-page-1#comment-1561 MadMan Tue, 01 Dec 2009 18:32:34 +0000 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm#comment-1561 Yes it is fraud. However, if she does not use it, and better still cancel it, then it will be OK. Yes it is fraud. However, if she does not use it, and better still cancel it, then it will be OK.

]]> By: jle4044 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm/comment-page-1#comment-1562 jle4044 Tue, 01 Dec 2009 18:32:34 +0000 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm#comment-1562 That store clerk should be more worried than your friend; while she could *technically* be held liable for fraud, the clerk would be nailed on fraud plus contributing to the delinquency of a minor. I wouldn't worry, but she needs to take the right action and NOW! Your friend's biggest problem is that if this is her first credit card or loan, then she has no current credit report. This card will start her credit report and guess what? The account has the wrong birth date! That's a problem later on when she goes to apply for other credit or jobs or apartments and the birth date on her applications don't match with her credit report (assuming the lender does a manual review or their processing system matches ID information). If she cancels it immediately, it's unlikely it will report to the credit agencies. If it does report and her personal info on the report itself shows the false birth date, she's going to have to dispute that with the credit agencies and give them copies of her ID. Will she get in trouble? Doubtful! The finance company for the card would have to prove she had an intent to defraud and caused financial damages to the finance company for them to go after her. If she immediately cancels, there's no damages period. Yes, she had the intent, but if she cancels immediately, it would be tough to prosecute. She's a minor and it could be argued that she did a "stupid teenage thing", but turned around and did the right thing. Again, without monetary damages involved, that won't go far. Tell your friend that's the problem with lying. You have to remember what you lied about! That store clerk sucks for helping put her in this position. That store clerk should be more worried than your friend; while she could *technically* be held liable for fraud, the clerk would be nailed on fraud plus contributing to the delinquency of a minor. I wouldn’t worry, but she needs to take the right action and NOW!

Your friend’s biggest problem is that if this is her first credit card or loan, then she has no current credit report. This card will start her credit report and guess what? The account has the wrong birth date!

That’s a problem later on when she goes to apply for other credit or jobs or apartments and the birth date on her applications don’t match with her credit report (assuming the lender does a manual review or their processing system matches ID information).

If she cancels it immediately, it’s unlikely it will report to the credit agencies. If it does report and her personal info on the report itself shows the false birth date, she’s going to have to dispute that with the credit agencies and give them copies of her ID.

Will she get in trouble? Doubtful! The finance company for the card would have to prove she had an intent to defraud and caused financial damages to the finance company for them to go after her. If she immediately cancels, there’s no damages period. Yes, she had the intent, but if she cancels immediately, it would be tough to prosecute. She’s a minor and it could be argued that she did a "stupid teenage thing", but turned around and did the right thing. Again, without monetary damages involved, that won’t go far.

Tell your friend that’s the problem with lying. You have to remember what you lied about! That store clerk sucks for helping put her in this position.

]]> By: Interior http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm/comment-page-1#comment-1563 Interior Tue, 01 Dec 2009 18:32:34 +0000 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm#comment-1563 Yes its fraud..but its not that big of a deal like everyone is making it seem. If she does decide to use it, she has to make sure she pays for it. If shes not going to use it she can just hang on to it, or cancel it...but what would make this more serious is if she decides to use it and not pay for it and uses the excuse that she is not 18...then her and the clerk will get into some minor trouble. So, if she wants a credit card...she got one..lets just hope she is responsible and pays the bill...think of it this way..shes got an early start on building her credit :) Yes its fraud..but its not that big of a deal like everyone is making it seem. If she does decide to use it, she has to make sure she pays for it. If shes not going to use it she can just hang on to it, or cancel it…but what would make this more serious is if she decides to use it and not pay for it and uses the excuse that she is not 18…then her and the clerk will get into some minor trouble. So, if she wants a credit card…she got one..lets just hope she is responsible and pays the bill…think of it this way..shes got an early start on building her credit :)

]]> By: gamafoo http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm/comment-page-1#comment-1564 gamafoo Tue, 01 Dec 2009 18:32:34 +0000 http://smallbusinessmerchantaccounts.org/is-this-credit-card-fraud.htm#comment-1564 yes its fraud a person under 18 cannot usually have a credit card because they cannot be held liable for the payments because there still considered a minor yes its fraud a person under 18 cannot usually have a credit card because they cannot be held liable for the payments because there still considered a minor

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