- More than 50% of Malaysian parents are willing to go into debt to fund their child’s education, on top of the fact that 80% of them are funding their child’s education from day-to-day income, a HSBC survey revealed.
- HSBC Bank Malaysia Bhd retail banking and wealth management country head Lim Eng Seong said 92% of local parents were funding their child’s education.
- He added they were willing to make sacrifices and risk their own financial security as compared to 60% at the global level.
- “Many parents think that funding a child’s education is more important than their other fiancial commitments like credit card repayment, insurance and contribution to retirement savings,” he said.
- He was speaking to reporters after releasing the Foundations for the Future, the latest report in HSBC’s “The Value of Education” series.
- Asked on allocation for education, Lim said the percentage of allocation that should be set aside should be 10% and 15% of the salary.