One in five parents are now dipping into their children’s savings to help them during the credit crunch.
It seems if the Bank of Mum and Dad is running on empty, the Bank of Child is now being utilised to make ends meet.
According to research by Engage Mutual, one in five parents are now dipping into their children’s savings to help them during the credit crunch. Although not entirely surprising, this is sad news and very literally demonstrates how much families are struggling to juggle the recession along with what is meant to be a Merry Christmas.
The research indicates parents are borrowing between £200 and £500 – possibly as a subsidy for unexpected bills which 60% of those questioned, confirm they can’t afford to pay. Taking out of their children’s savings, I am sure, is done so with the best of intentions to pay back, but to even get to this stage in the first place, is a very sorry state.
Despite this, other reports, such as one earlier this month from the Post Office and Daily Mail, implies this new development is a final step for desperate parents who’ve already been trying to go without to make ends meet. Their research confirmed many adults have already been cutting back on their own food and clothes purchases, saving nearly £150 a month by doing so. Even with such cutbacks, the fact that people are now using their children’s savings, causes much concern.