engage press releases
October 2005
£5 contribution attracts Child Trust Fund savers
50%* of engage Mutual Assurance’s Child Trust Fund customers are making regular contributions to their accounts – nearly double the average of those surveyed of 26%**, according to recent independent research from BDRC**.
By offering the option to make regular Direct Debit contributions from just £5 per month, engage believes that it is helping many parents who are busy adjusting to the financial impact of a new arrival to kick-start their child savings, especially those who have more than one child eligible for the scheme.
BDRC’s research also highlights the importance of bringing regular savers on board as early as possible. Its research shows that of those who didn’t immediately set up a Direct Debit when they opened a Child Trust Fund account, 56%** were fairly or very unlikely to do so in the future.
Karl Elliott, engage’s Child Savings Strategist, commented “Whilst new parents learn to cope with the many costs associated with a new arrival, they could also be managing on a reduced income, perhaps during a period of maternity leave or if one parent leaves work to stay at home. It really makes sense for us to accommodate the needs of this group of customers, by offering the choice of a lower-level contribution to the account. In this way, parents can still enjoy making regular savings at a level appropriate to their current circumstances.”
Beverley Fuller, mother of two-year-old toddler Caitlin and six-month old baby Luke, applied to engage to open two Child Trust Fund accounts in September. One of the main attractions for Beverly was the ability to make a lower regular contribution to the children’s accounts.
“I’m so busy with Luke and Caitlin and I rely on the internet to get most things done, so I was interested to learn that I could open an account on-line when I picked up a leaflet from my local ASDA.
Because I’m on maternity pay at the moment, I also decided to contribute the minimum amount. With two children to plan for, being able to save just £5 each month was the reason why I chose a Child Trust Fund account provided by engage.
Whilst I want the best for my children’s future, I don’t want to compromise our standard of living now; so starting to save any amount - no matter how small - really appealed to me.”
-ENDS-
*engage Mutual Assurance MIS
** BDRC Syndicated Survey Wave 6 Jan – Jun 2005. Objectives: to establish parental awareness of the CTF, patterns of registration behaviour, savings intentions, account opening intentions and use of CTF funds.
Zoe Bowett PR Manager
01423 855 315
07957 434 504
zoe.bowett@engagemutual.com
NOTES TO EDITOR
(1) engage Mutual Assurance is a trading style of Homeowners Friendly Society (HFSL) and it’s wholly-owned subsidiary Homeowners Investment Fund Managers Limited (HIFML).
(2) The organisation is also the primary sponsor of the Rugby Super League – now renamed engage Super League.
(3) engage Mutual Assurance is also headline sponsor of the engage International Open 2005, part of the World Bowls Tour.
(4) Established in 1980, Homeowners Friendly Society Limited (HFSL) is Registered and Incorporated under the Friendly Societies Act 1992, Reg.No.964F, it’s wholly owned subsidiary Homeowners Investment Fund Managers Limited (HIFML) is Registered in England No 3224780. Both are authorised and regulated by the Financial Services Authority (FSA). Homeowners Friendly Society Limited's FSA Register number is 110072, and Homeowners Investment Fund Managers Limited's FSA Register number is 181487. You can check this on the FSA's Register by visiting the FSA's website www.fsa.gov.uk/register or by contacting the FSA on 0845 606 1234
(4) Homeowners Investment Fund Managers Limited is a provider of the Child Trust Fund.
engage Mutual Assurance is a trading name of Homeowners Friendly Society Limited and its wholly owned subsidiary engage Mutual Funds Limited. Both are authorised and regulated by the Financial Services Authority.