Youth credit warning

Press, 12 November 1985, Page 6

Youth credit warning

NZPA-AAP Sydney New South Wales schoolchildren are risking bankruptcy and threatening their future credit ratings by borrowing too much money and spending too freely on credit cards.

Children as young as 13 are becoming known credit risks by abusing credit and charge cards they co-own with their parents, according to the New South Wales Minister of Consumer Affairs, Mr George Paciullo.

Students aged 16 to 18 are in the highest risk group, getting themselves into trouble by borrowing too much, particularly for cars and stereo equipment. They risk bad credit reputations and could be listed for five years as unreliable creditors if they fail to pay their debts, he said. Mr Paciullo yesterday launched an education kit to teach high school and college students about' credit and to urge them not to

borrow more than they can afford to repay. The kit teaches the students their legal rights and responsibilities under new credit laws introduced in the state last year and emphasises that they get credit management help before “signing on the dotted line,” Mr Paciullo said. The kit was prepared by the Department of Consumer Affairs and New South Wales credit unions.