Brits turn to Friends and Family for Financial Advice
Friends and family are being turned to for valuable financial advice over professionals, a new study shows.
Research by the Co-operative Bank shows 80 percent of the UK population has money worries as inflation weighs down on purse strings. A study by Aviva reveals UK consumers are turning to the internet and friends and family for help with their money concerns.
The younger generations are the most likely to turn to friends and family for financial advice first rather than a professional, with 70 percent of 18-24 year olds feeling this way. This is compared to 24 percent of over-65s who would do the same.
“It’s a concern that so many people are relying on friends or family and the internet for financial advice,” said Graham Boffey, Aviva, UK Life distribution director.
“It’s also quite evident that those people who take professional financial advice find it adds value and gives them confidence in their decisions.”
More of the younger age group said they would use the internet to search for information regarding their finances (52 percent), while only 23 percent of over-65s would do the same.
The report suggests that those seeking professional advice place great value on the advice they receive – with 95 percent of those who had received a consultation reported they had benefited from it and as a result felt more comfortable with how they managed their money. While 42 percent said they were more confident that they were making the right decisions.
According to the Co-operative’s study, outgoings are on average £212 more than incomings at the moment.
All areas of family finances are being scrutinised with a view to save money, as the top money worries listed were utility bills, personal debt and fuel prices.
For those who struggle to budget a prepaid debit card could be a good tool to prevent them from overspending.