K&H: big results for little money

Developing financial awareness at a young age is one of the best investments in the future. Whether it’s a small or large child, saving even a few thousand forints a month can bring serious results in the long run. This is what K&H’s Vigyázz, széll, pénz! financial competition for students, which has reached its anniversary, fifteenth season this year, draws attention to.

Small amount, but big interest

For example, if a student puts aside 2 thousand forints every month, and the parents also provide an annual interest rate of 5 percent, their savings can exceed 106 thousand forints in four years. But if someone thinks in a bigger way and puts aside 10 thousand forints a month, they will be richer by more than 531 thousand forints after four years.

“With a little awareness, by taking advantage of the miracle of compound interest, savings can grow at an incredible rate, as savings grow not only on the money set aside, but also on previous interest,”

– emphasized Nóra Horváth Magyary Voljč, K&H Group’s communications executive director, adding: “young people must be encouraged to take small steps towards their big goals. A few thousand forints a month is enough to make their future more secure.”

Let’s start small, learn big

“Children’s social learning is key: what they see from their parents and teachers shapes their financial habits,”

– added Eszter Hergár, head of the Money Museum under the supervision of the Hungarian National Bank (MNB). He added:

“parents and partly kindergarten teachers have a very important role in laying the foundation for later financial awareness and developing financial personality in a playful way, even in kindergarten and primary school. From the age of 8-9, dealing with basic financial knowledge can even be incorporated into the students’ knowledge base as part of the curriculum.”