Parents who are struggling to get onto the property ladder are still managing to stow away cash in savings accounts for their children's future, it has emerged.
Research by Engage Mutual has found that low income families are proportionally putting more money into their children's Child Trust Funds than parents that have a large salary.
Marketing director at the firm Karl Elliott comments: "Regardless of household income, everyone should be encouraged to save for their children.
"We would urge parents to set aside a small amount of money on a regular basis and they will be surprised to see how each monthly instalment could add up over the long-term."
Lower income families are leading by example when it comes to savings accounts, he adds.
High earners are likely to spend 41 per cent more on travel and 39 per cent more on socialising whereas lower income groups are 34 per cent more likely to rent their home instead of having a mortgage .
In related news, Bradford and Bingley have launched a new Kid's Saving Bond with an interest rate of 6.4 per cent.
Low income families put more into savings, expert states
Low income families put more into savings, expert states
Mon, 10 Sep 2007
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