Are piggy banks on their way out?
Kids are turning to bank accounts and apps to look after their pocket money…
Piggy banks are slowly losing their appeal as more kids get their pocket money paid into bank accounts, research from Halifax suggests.
The share of kids using a piggy bank has dropped to 72% from 80% in 2017, the survey shows, while the number receiving some pocket money into a bank account is up from 19% to 23%.
The proportion of kids with bank accounts has remained at 35%.
In addition, 4% of children now ask their parents to pay money into specific pocket money apps.
The rise in bank account use is more common with older children, with 32% of girls and 29% of boys aged between 12 and 15 getting some of their pocket money this way.
And more boys are opting for online banking, with 29% of 12-to 15-year-olds choosing to manage their money this way. In contrast, 21% of girls in the same age group use mobile or internet banking to track their pocket money.
What does a 1p coin look like?
It’s possible that this growing preference for apps and banks is affecting children’s ability to recognise cash and cheques. The research shows that only 69% of 15-year-olds can identify a 1p coin, compared with 82% of eight-year-olds.
It’s a similar story when it comes to paper money, with 79% of eight-year-olds surveyed being able to pick out a £10 note. That’s something only 72% of 15-year-olds could manage.
Only 59% of the survey’s participants on average were able to recognise a cheque.
Giles Martin, Head of Savings at Halifax, said: “Whilst almost a quarter of children now receive some of their pocket money into a bank account, there is a still a place for the humble piggy bank, with over 70% of kids continuing to use one.
‘What’s most important though, is for children to start learning about money at an early age, whether that’s with pounds and pennies, or digital currency.”