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50% of teenagers 'in debt' by 17

Personal finance qualifications could help teenagers avoid getting into debt, according to an expert.

A spokesman for the ifs School of Finance was speaking after new figures reveal that more than half of young people in the UK find themselves in debt by the time they turn 17.

The educational charity's chief executive asserts it is unlikely that any of these young debtors have taken a dedicated personal finance course, which provides teenagers with a solid understanding of spending habits and financial management advice.

"Although I don't have concrete figures, I'd be prepared to bet that there are no 17-year-olds in debt who have taken a dedicated qualification in personal finance," comments Gavin Shreeve.

In addition, the spokesman says recent evidence has shown that providing students with a specialised course in personal finance could be "the most successful means of achieving higher levels of financial capability".

The poll carried out by the Personal Finance Education Group (pfeg) finds that the vast majority of young people worry about money and tend to think overdrafts and credit cards are easy ways to spend more money than you have.

Research from pfeg also reveals that one in 20 young people in the UK think they do not have to ever pay back money borrowed on a credit card.

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13/02/2007 18:19:00

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