Tag Archives: The Children’s Mutual

Checking & Savings, Financial, Financial Information, Financial Management, Financial Services, Insurance, Investment, Money, Personal Finance

The Children’s Mutual Finds Parents Prioritise Children’s Dreams

According to The Children’s Mutual over 5.5 million* young people in the UK are receiving financial help from their parents in order to realise their dreams and aspirations. In some cases this could lead to their parents abandoning their own dreams for the future and potentially undermining their finances.

thechildrensmutual

The research by the leading Child Trust Fund provider illustrates the finances that can be needed to realise an adult child’s ambitions and The Children’s Mutual is encouraging parents of today’s younger children to consider saving now if they want to be able to afford both these and their own retirement dreams.

Many parents of today’s 20 something’s have had to raid their own savings or sacrifice their retirement goals in order to help their adult children fulfil theirs. After spending years saving to fulfil their long-standing future plans, parents are finding that when the time comes the funds won’t cover the aspirations of both generations.

28%** of today’s 25 year-olds have financial support from their parents towards education, 23%*** towards their rent and 19%*** have financial support from their parents towards holidays and trips abroad.

David White, Chief Executive, The Children’s Mutual, commented, “We are highlighting to parents of younger children that by starting to save for their child’s future now, they can help avoid the struggles faced by the baby-boomer generation who regularly sacrifice their own dreams for those of their children.”

Research from The Children’s Mutual shows that 80%** of today’s 18 to 25 year-olds believe they can be ‘financially independent’ while still receiving financial support from their parents and 66%*** of those who are ‘completely financially independent’ still get some form of financial support from parents.

Starting to save small amounts regularly over the long-term into Child Trust Funds, is one way parents of today’s children could stand a better chance of fulfilling their own desires alongside being able to provide for their children as they enter adulthood.

David White continued; “Making the step into adulthood is often a strain financially. But from 2020 all 18 year-olds will be receiving their Child Trust Fund and those whose families have managed to save the maximum amount of £1,200 each year will have a fund that could be worth£37,100**** upon maturity. Those who save the average amount amongst our customers of £24 a month could have a fund worth £9,750 (based on investing £24 a month) when they reach age 18.”

* 6,309,156 (UK 18-25 year olds – source: statistics.gov.uk) / 100 x 87.2 (18-25 year olds who have had financial help from their parents according to The Children’s Mutual’s Financial Independence Report 2009) = 5,501,584
** Financial Independence Report commissioned by The Children’s Mutual February 2009
*** ibid
**** Projection includes monthly investment (plus £250 government vouchers at birth and age 7) for 18 years in a stakeholder CTF account. Assumed investment return – 7% a year, with charges of 1.5% of the CTF account value each year. Projected values cannot be guaranteed as shares can go up or down. Final payout could be more or less than this.

About The Children’s Mutual – Home of the Child Trust Fund
The Children’s Mutual’s mission is to help parents, grandparents, family and friends fulfil their hopes for today’s children. The Children’s Mutual is the only UK company that specialises in long term savings for children and is now the choice of 1 in 4 parents for their child’s Child Trust Fund, with more than 650,000 accounts.

The Children’s Mutual has won the The Moneyfacts Award for Best Child Trust Fund Provider every year since its 2006 launch.

This expertise has led several financial institutions and family-focused high street retailers to choose The Children’s Mutual as their CTF partner including ASDA, Boots, The Co-operative, Lloyds TSB, Mothercare and regional bank and building societies across the UK.

Via EPR Network
More Financial press releases

Checking & Savings, Financial, Financial Information, Financial Management, Financial Services, Insurance, Investment, Money, Personal Finance

The Children’s Mutual Reveals Dads Are Kid’s Number One Heroes

Leading Child Trust Fund (CTF) provider, The Children’s Mutual, has revealed that Dads are their children’s number one heroes, fighting off stiff competition from super heroes, fairy tale princesses, alien fighters, cartoon explorers and world footballer of the year, Ronaldo. This new research from The Children’s Mutual has been released to mark Father’s Day.

The company spoke to 1,000 of its customers to find out who their children most admired and see how aspirations change over time. For five and six-year-olds, Dad topped the poll for both girls and boys. Mums also fared well, being runner up in the hero stakes for girls and finishing fifth for boys – well ahead of Superman and Batman.

Both Grandma and Granddad also feature in the children’s top 10 hero list, with Grandma finishing 10th for girls and Granddad securing ninth spot for the boys, demonstrating the importance of the extended family for today’s young children.

Tony Anderson, Marketing Director at The Children’s Mutual, said: “Being a great dad can feel like a superhuman challenge and it’s wonderful that today’s five and six-year-olds can see past the special effects and costumes frequently found in children’s popular fiction to appreciate their own home grown hero – Dad”.

“Every dad wants to do the best they can for their children and one small part of this is planning for their futures – particularly if they are not going to automatically come into a Bruce Wayne sized inheritance. This is where we hope we can help. By saving money regularly into a Child Trust Fund, families can give their children a financial head start in life – by saving £24 a month into their CTF account from birth, the fund could be worth £9,700 by the time they turn 18. This increases to a potential £37,000 if the maximum £100 a month is invested – an enormous help towards covering university fees or paying for the deposit on a first home.”

For further information visit The Children’s Mutual.

The findings come from The Children’s Mutual’s annual ‘What I want to Be When I Grow Up’ research. Parents of 1,000 children aged five and six were interviewed in 2006 and 2007 to track how their aspirations change over time.

Future projected values quoted based on investing £24 or £100 a month (plus £250 government vouchers at birth and age 7) for 18 years in a stakeholder CTF account. Assumed investment return of 7% a year, with charges of 1.5% of the CTF account value each year. Projected values cannot be guaranteed as shares can go up or down. Final payout could be more or less than this.

About The Children’s Mutual – Home of the Child Trust Fund
The Children’s Mutual’s mission is to help family and friends fulfil their hopes for today’s children. The Children’s Mutual is now the choice of 1 in 4 parents for their child’s Child Trust Fund, looking after more than 650,000 CTF accounts. The Children’s Mutual made a significant contribution to the Government’s Child Trust Fund consultation process and has won the The Moneyfacts Award for Best Child Trust Fund Provider every year since its 2006 launch.

The Children’s Mutual is widely recognised by the business community and press as the industry expert, with financial institutions and family-focused high street retailers including ASDA, Boots, The Co operative, Lloyds TSB, Mothercare and regional bank and building societies across the UK choosing The Children’s Mutual’s as their CTF partner.

Via EPR Network
More Financial press releases

Checking & Savings, Costs, Financial, Financial Information, Financial Services, Money, Personal Finance

Tooth Fairy Tightening Purse Strings As Recession Bites

The Children’s Mutual’s annual Tooth Fairy Index has revealed that the average cost of a child’s tooth has fallen six per cent from £1.22 to £1.15. The index shows that even the Tooth Fairy is having to fight the economic gloom, giving away £1.3* million less this year than last, as the credit crunch extends its clutches to the magic realm of Fairyland.

Tooth Fairy Index

In 2008, the Child Trust Fund provider’s Tooth Fairy Index found the average cost of a tooth had risen by an impressive 16% on the previous year. But 12 months on, the tooth market is showing signs of decay as parents resist the ‘fairy pressure’ reported in previous years, with 24% now happy to pay less than average, stating this helps their children understand the value of money.

David White, Chief Executive of The Children’s Mutual said: “The fall in the value of teeth provides the perfect opportunity for parents to talk to their child about the value of money and the impact of the credit crunch. Talking about the value of money in terms children can easily understand can help them appreciate the importance of saving.”

Encouragingly, 55% of all children save some or all of the money the tooth fairy leaves in exchange for their teeth. Children in the South West have the most bulging piggy banks as over three quarters (77%) are saving their tooth pennies, while those in Scotland are choosing to splash their cash, with 51% spending all the money the tooth fairy leaves under their pillow.

The Children’s Mutual’s Tooth Fairy Index reveals that attitudes towards the tooth fairy vary widely across the UK. Children in Northern Ireland benefit the most from the tooth fairy’s generosity, as one in 8 children (12.5%) receive £5 or more for each tooth that wobbles free, whereas 12% of children in the Midlands have a gap in their purses as well as their mouths as they are forgotten by the tooth fairy altogether.

The report also indicates that the tooth fairy herself has changed over the years. Traditionally, the tooth fairy has been known for leaving money, letters, and a sprinkling of fairy dust on her nightly rounds, though some parents recalled receiving an orange, toys or a book as a special treat from the tooth fairy. Their children in turn are now the recipients of mobile phone credit and magazines as the tooth fairy flies into the twenty-first century.

About The Childrens Mutual
The Children’s Mutual’s mission is to help parents, grandparents, family and friends fulfil their hopes for today’s children and secure their financial futures. The company specialises exclusively in family-focused finance products, and is currently the choice of 1 in 4 parents for Child Trust Funds.

The Children’s Mutual, as an expert in savings for children, made a significant contribution to the Government’s Child Trust Fund consultation process and is widely recognised by the business community and press as an industry expert on family finance. This expertise has led several financial institutions and family-focused high street retailers to choose The Children’s Mutual as their stakeholder Child Trust Fund partner.

A breakdown of the average amount of money left per tooth in each region of the UK is available upon request.

All research conducted by 72 Point who interviewed 2070 parents with children aged 5-15 in May 2009
* Average number of children aged 6-11(4.8m) losing 4 teeth per year x the average tooth fairy rate of £1.15 – average number of children = 4.8m x 4 teeth per year = 19.2m; 19.2m x 1.15 = £22.8m. Last year’s value = £23.4m – this year’s value of £22.08 = £1.32m

The Children’s Mutual has a large database of case studies available. David White, The Children’s Mutual Chief Executive, is available for interview. 

Via EPR Network
More Financial press releases