More Young Adults Need Financial Help from Parents

An October 8, 2008 article from The Wall Street Journal reports that an increasing number for parents are having to decide how much - if any - assistance to give their children who are young adults facing high levels of student loan and/or credit card debt. The current economy has resulted in lower starting salaries, making the task of paying off debt even more daunting for recent college graduates. Many parents who had not planned to financially support their children as young adults are finding that, in order to prevent a negative mark on their son or daughter's credit history, they now must help with monthly payments. Experts recommend that parents who are assisting their children should do so in a manner that promotes accountability on the part of the young adult (i.e., the financial assistance should be in the form of a loan, rather than a gift).

The article is available at the Web site of The Wall Street Journal.