PPI Claim News - 1/5/2012
Bank refunds: How do children view finance?
Children's understanding of issues such as credit card payment protection insurance or the value of a loan claim is generally poor, so research from Legal & General Investments has given a charming insight into the financial viewpoints of a youngster.
Typically, six-year-olds believe their fist house will cost less than £10,000 to buy outright, although Halifax investigations reveal the average price of a dwelling in the UK is £163,000.
However, 80 per cent believe they will be able to buy their own home before they are 25 years old.
Furthermore, people of this age think the annual salary they will be likely to receive is just £100 every year, which could be used to purchase two packets of Haribo Starmix every seven days.
Nonetheless, if they could demand as much pocket money as they wanted, children aged six would ask for a weekly allowance of £20, which is over £1,000 every 12 months.
CandidMoney.com founder Justin Modray recently said: "I think the best money education parents can give their children is a healthy respect for debt."
Amir specialises in personal loans, consumer debt and debt management
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