Future generations are more likely to live debt free lives as they understand more about debt management issues. According to new research, carried out by NatWest’s Moneysense Panel, over two thirds of 12-19 year-olds know more about financial issues than a year ago and 86% are keeping track of their money.
Although keeping track of finances is important from an early age to get potential debt levels under control, many are unrealistic in their future grasp of debt. 39% believe they expect to leave university with debts of less than £10,000, whereas the actual figure is about £12,700. 58% also believe that they will be able to own their own home by the age of 25.
Head of NatWest MoneySense for Schools Maxine Norris commented: “This will be the first time these young people live through an economic downturn, which may encourage greater realism when it comes to their future financial expectations.”