Banks 'out of touch' with needs of young adults - Loans - News - Moneyfacts


Banks 'out of touch' with needs of young adults

Banks 'out of touch' with needs of young adults

Category: Loans

Updated: 31/10/2008
First Published: 27/10/2008

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Young adults have been let down by the government and financial institutions, it has been suggested.

According to think tank Reform and the Chartered Insurance Institute, the products and services provided by banks are ill-suited to the needs of those between the ages of 18 and 34.

And this so-called Ipod (insecure, pressurised, over-taxed and debt-ridden) generation is most at risk in the event of a recession, a report by the bodies has claimed.

It found that more than half of young adults have debts of up to £10,000, excluding secured loans, while one-fifth owes more than that amount.

Lucy Parsons, author of the report, remarked: "My generation is suffering. We are potentially more capable of managing our money than previous generations, but we have been let down by the financial establishment and government."

A recent survey by Bupa found that 75 per cent of people expect the credit crunch to affect their health.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Regulator to take closer look at high-cost credit

When used well, credit can be a viable way to help make ends meet and balance the books – but the problem comes when that credit is of the high-cost variety. The regulator has will be taking a closer look at the sector to see what else can be done.

The payday loan market is still broken

The payday loan market has been under fire a lot in recent years, and as a result, the financial regulator stepped in. But has it made a difference? Unfortunately, it looks as though there’s still a lot of work to be done.

Get a record low rate loan - if you qualify

Competition in the personal loans market is as hot as ever, so much so that one loan provider has slashed rates to the lowest on record – but only to those who fit the bill. The shopping bill, that is…