Teenagers taking advantage of Credit cards

21/02/2007

It has been put together that 23% of teenagers feel that credit cards are something which can be abused badly to purchase such goods, while leaving parents to deal with the monthly statements. Teenagers feel that credit card is helpful and they have power to purchase unaffordable items.

England’s figures estimates that nearly half of teenagers are in debt because of credit cards and 66% feel they need a credit card. A vast majority of teenagers think that overdrafts and credit cards are there to help them spend more then what they can actually earn.

This approach to credit cards by teenagers is drastic and figures estimate that £1.25 trillion is UK’s consumer debt.

Chief executive Wendy van den Hende said: 'Whilst we are pleased to see that today’s young people are relatively clued up on the mechanics of spending and saving money, it’s also alarming to note how seamlessly they appear to be drifting towards an adulthood of debt. We owe it to our young people to ensure that they have the financial acumen to deal with the responsibilities of being an adult.

That’s why personal finance education is absolutely vital in schools. We firmly believe that incorporating financial education into the existing school curriculum in a way that is relevant to young people’s lives is the best way to help them gain and retain the financial skills they need for the future.'