Young people urged to save

Students are not the only young people who may struggle with financial matters – and perhaps, ultimately, debt – a finance information provider has said.

Many teenagers are about to embark on a career or take on part-time work and are beginning to learn money and debt management for themselves. Moneyfacts, however, has suggested switching current accounts to get the most out of wages.

According to the finance provider, young adults can take advantage of accounts such as Alliance & Leicester’s Premier 21 account, which offers gross interest of 9.57 per cent on balances up to £1,000, or the Abbey Account that offers interest of 5.84 per cent on balances up to £500.

It went on to say that educating young people to save while they have a disposable income may help them in the long run.

“By teaching them the skills when they are young, hopefully we can stop another generation getting into as much debt and avoiding the financial mistakes that this generation has made,” said the report.

Parents can also help their family save money by buying cheaper school uniforms from various high-street shops, according to Which?

By Morwenna Kearns