The current economic climate is hitting everyone pretty hard, even at the beginning of 2009. Britain’s teenagers are now being encouraged to fund their own living expenses as parents respond to the economic downturn. Many mums and dads are looking for practical products to help youngsters learn the value of money.
Research from NatWest Adapt, a current account for 11-18 year olds, found that over 63% of parents with children in this age group are using pocket money to give them an introduction to basic money management skills such as saving and budgeting.
In a bid to instil these skills, 60% of parents expect their children to cover their own travel fares, with a further three quarters asking them to fund days out with friends. Also, 80% of parents expect the extra pocket money to cover the cost of Music, DVDs and video games.
With this in mind, setting 11-18 year olds up with a NatWest Adapt account is the ideal way to help them make their money go further. The current account offers discounts on mobile phones, cinema tickets and rail travel. What’s more, there is no overdraft allowed on the account so there’s no risk of children getting into debt.
For those parents who struggle to get their children interested in their finances, youngsters are now able to have fun customising their own chip and PIN debit card with a NatWest Adapt account. The cards can be personalised with a photograph of their choice, or their own clip art design on the NatWest website.
According to the survey, a third of parents are now paying their children’s pocket money into a bank account. For many parents, this is a practical way of encouraging children to get used to day-to-day banking products from a young age.
The account has been developed so that children can become used to everyday banking products in a safe way. The chip and PIN card enhances the account’s security and ensures young people do not have to carry large amounts of cash on them. The monthly statements, meanwhile, are a useful tool for children to start practicing good personal finance habits, by studying their outgoings, watching balances grow and setting short-term goals.