The Credit Corner

By WlttlAM E. TOCKE

Bill hos loughf hundreds of independently owned ftrnr, building supply oullets omong fhem, how to build soles through credif selling, ond how lo collecl receivobles, Bill's progrom ofiers lhe deoler ond his sloff on ihe iob credit lroining ond periodic :upervision. He hos eorned o mosl envioble repulotion teoching "professionol credil monogemenl" lo progressive retoilers during the lost ll yeors of his totol of over 30 yeors in the field of retoil ond consumer credit. For deloils write him direct. 34Ol Bolboo Slreet, Son Froncisco 21, Cslifornio.

A great many retailers, and department heads in strictly service outlets, have asked me, o'What do we do about teen-agers when they ask for credit?"

Let's start with the curious fact that nobody pleads inability to pay a debt when they want to buy an item of merchandise they like or need. That comes later when they are unable to pay. Age makes no difierence. Actually, teen-agers are less able to cope with finances, budget planning and, in fact, a desire to buy something they want than those oooldsters" who can be considered more secure and stable.

Compulsive credit buying by youths under the legal age limit is increasing by treaps and bounds. It is repotted that the 1963 California Legislature will be asked to consider laws controlling promiscuous credit selling to teen-agers, and in my opinion, such laws should be enacted, especially since so many credit sellers ar€ unable to refuse credit when a sale is in the offing. In simplest terms, credit granters should not throw the baby out with the bath water. They should develop a definite plan involving sales on credit to teen-agers because of these young peoples inability to establish themselves as good credit risks. If they have a job it is usually of a temporary nature. Students and teen-age service men fall into the same category. If you stop and think, building supply dealers are not exempt and teen-agers apply to them for credit. Power tools, guns and certain hardware are in demand by the youths in most any trade area. Young teenagers-though married-fall into the group of under-age credit buyers. In my opinion, they have not matured merely because they marry. fECO Ofiers Arch Frqme Design

The answer I have for the question, "What do we do about teen-agers when they ask for credit" if they are married, take a complete and comprehensive credit application and check it out thoroughly. If they are single do the same thing, but in addition, do not grant the credit unless a parent signs the credit application and invoice. Parents have a way of knowing more about their children tlan you do. Don't allow yourself to be condemned by parents for allowing their children to create debts that the usual parent feels responsible for without that parent's consent.

Handling teen-age credit buyers in this suggested manner paints a Utopian picture that has great appeal to those of us who believe that our youth should not fall into maturity believing "easy credit" brings worldly goods. Don't sidestep a basic moral responsibility. Help keep our youth from starting maturity with a burden of debt around their necks.

Mr. Locke giues lreely ol his time in toriting tfu Cred,it, Corner each month. Il you haae a question concerning your credit depurtment he will gladly arcwer your written inquiry directed. to him, and at rw obliga,tion to you.-Eonon.