Loans more popular than saving’s suggests bank
“The art of saving is wasted on the young”, or at least that’s what one of the UK’s leading banks has suggested.
According to their finding’s, the UK’s younger generation are far more inclined to take out a loan if they require additional funds, than to open or consider opening a savings account. The bank has aired a degree of frustration towards younger people claiming that no matter what they do, and no matter how attractive they make savings products, young people almost always opt for a loan.
The general consensus and popular believe is that the younger generation “are” starting to save, and the saving market as a whole “is” becoming younger. However, according to the bank, this is simply not true. The majority of their customers, who are inclined to save on a regular basis fall into the mid forty to early fifties demographic. The younger market share is still tightly focused towards their loan products.
A detailed study conducted by the bank has revealed that only 1/3 of people who fall within the mid 20’s to mid 30’s bracket believe their ability to manage personal finances surpasses that of their parents. Of their parent’s generation, more than 2/3rd’s believe they are better equipped financially than the generation previous to them.
The findings are perhaps further evidence of a change in attitude towards credit, which is fuelling the UK’s current debt crisis. It has been suggested that younger people need to be “schooled” on matters of personal finance, in order to curb the trend.
