Children could easily fall into debt, parents warn

Today’s children could easily find themselves battling debt problems when they grow up, a new survey has suggested.

The research, carried out by M&S Money, revealed a quarter of parents believe their offspring are more likely to encounter financial difficulties than they were when they were young.

It showed despite the impact of the credit crunch and the lessons learned from it, mothers and fathers are still concerned about how well their kids will be able to manage their monetary situation.

The investigation found a third of mums and dads think their sons and daughters are less well equipped to looks after their cash, while 19 per cent of those questioned said their children will struggle as a result of there being too much jargon for them to understand and not enough guidance from schools.

However, almost a third of parents noted they will be able to help their kids by imparting their own knowledge and experiences with money on to them.

Indeed, a fifth of respondents claimed their mum and dad had the most influence on how they manage their money.

They also feel integrating finance into the school syllabus could be a beneficial move for the youngsters.

Colin Kersley, Chief Executive of M&S Money, commented: “Having been through one of the most complicated couple of years for family finances, the importance of getting things right for the future has never been more important.”

The latest statistics released by Credit Action showed total UK personal debt is on the increase, with the amount reaching £31,455 billion by the end of September.

By Joe White