Parents of credit crunch kids are doing their bit to learn from the mistakes of the past
Joining the evergreen list of life-lessons taught to children, such as never speak with your mouth full or always look twice when crossing the road, are the ability to manage a budget and avoid falling into debt.
Research by Prepaid International Forum (PIF), the not-for-profit trade body for the prepaid sector, reveals that the dramatic increase in specialist prepaid child accounts is being driven by parents’ desire to ensure children grow up with a strong sense of financial responsibility as well as basic skills such as managing their own budget.
60% of new accounts for children are being opened with this reason in mind according to a recent survey by PIF.*
As a result, PIF says, the number of live accounts and the variety of options on offer are growing dramatically.
goHenry, one of the leading providers and first to market here in the UK, offers a pre-paid debit card and app with unique parental controls and currently has 250,000-plus users. Similarly, another popular brand, Osper reports hitting a peak of 30-plus cards being ordered every minute with at least 20% growth in orders every month since 2014. Nimbl, a recent entrant to the market has also reported a very positive response and higher than predicted sign-up rates.
The Prepaid International Forum (PIF) is a principal trade association for the prepaid industry. We believe that prepayment is a responsible way to pay for goods and services, and that consumers should be confident in the security of prepaid services and the money that is stored on their behalf.
Established in 2007 as a not-for-profit organisation, PIF works closely with industry, regulators, government departments, consumer bodies and the media to promote understanding of prepaid as well as providing support and education to proponents of prepaid worldwide. To learn more about PIF visit www.prepaidforum.org