Press release – For Immediate Publication
May 20th 2020
The importance of financial education for adults and children has been acknowledged throughout the world. Whilst financial products and services have become increasingly accessible to the general population. However, their use is complex and they are hard to understand for an average individual who has little or no financial education. It is generally also agreed that schools don’t do enough when it comes to teaching financial literacy and that perhaps financial literacy as a concept is done. It was a good idea but the impact has been minimal.
Whilst it seems logical for banks to enter the void, many find little time for the idea, choosing to focus their time on adult banking and the large regulatory and compliance issues they face every day. This has left the segment open to attack from fintechs.
Yet the tide is turning with four large actors having released significant digital programs to teach children about banking from an early age and bring them and their parents on as customers. HSBC, Revolut, ING and NatWest have all released big programs recently https://moroku.com/ing-planet-orange/
With a platform ready for adoption by any financial institution that wants to enter the children banking market with a digital platform, Moroku’s ChoreScout has been slowly adding financial institutions to its customer base. yet in a move aimed at accelerating the financial fitness of children around the world, Moroku has today made their apps available to all parents in the world for free.
CEO Colin Weir says “We’re following Musk’s lead. Financial fitness for youth is just way too important for us to sit on our software while we wait for financial institutions to deliver digital banking platforms for children. Most are too worried about making money from adult banking. On the other side of the pond, small fintechs are too worried about making money from their children payments apps and that’s getting in the way as well. So we’ve unleashed our wrecking ball and giving the platform away. We’re doing this so that leaders of financial institutions can now see how white labeling them, and giving them away for free to their customers, unleashes financial fitness across the world. Lets deploy Gen Z Banking together and stop Jeff Bezos and Mark Zuckerberg winning everything.”
Data is scarce for the pocket money market but there are some stats around. In the US, 73% of parents choose to give a regular allowance to their kids with an average of US$ 8.24 a week, according to The Kids Allowance Report 2019 by RoosterMoney. In the UK, an average weekly allowance is £9, with the monthly average of £39. As the kids get older, they can get up to £15 a week, reported by GoHenry Youth Economy Report 2019. The stats show that parents want to teach good habits to kids, while encouraging them with financial incentives. Earning from chores shows that parents are further educating their children to be financially aware and learn. The data supports the notion that banks and other financial education providers have tremendous opportunities in this area.
For more on the opportunity around Gen Z banking please visit https://moroku.com/ing-planet-orange/