New research has shown that 19% of parents have borrowed cash from a child’s savings account.
According to Compare the Market, almost a fifth of parents have used money saved in their child’s accounts to supplement costs of living. As pointed out by Moneywise:
“49% of those who admitted borrowing money saying that they had used the money to cover household bills. Some 19% of those who had borrowed cash from their kids said they had done it to buy groceries, while 17% used it to pay for childcare”.
Child savings are at the highest point ever, with the average child having £982.50 in savings and a fifth of children having savings worth over £2,000. Children on average also accumulate £276 per year from pocket money alone.
While it is encouraging to see parents placing importance on their children’s savings and futures, this should not be at the detriment of their own savings. If you would like advice on savings accounts and planning for your children’s futures, please get in touch.
