Lending Tree: 56% of Parents With Young Children Are in Debt Due to Coronavirus

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Graphic via Lending Tree

According to a survey by Lending Tree, Fifty-six percent of parents have gone into debt due to the coronavirus pandemic. The survey included more than 1,000 parents with children under 18.

Meanwhile, 36% of parents, immediate financial needs caused by the coronavirus pandemic have led them to tap their children’s college fund. Fifteen percent of those surveyed said that they don’t have a college fund for their kids at all.

Key findings

  • 56% of parents have gone into debt due to coronavirus-related circumstances. Four in 10 added credit card debt, and 15% had to turn to a personal loan.
  • Single parents are struggling more to pay bills amidst the coronavirus pandemic. Nearly 1 in 5 parents who are single, divorced or separated couldn’t pay their credit card bill last month, versus 9% of married parents. Fifteen percent couldn’t pay their rent or mortgage in full.
  • 36% of parents tapped their child’s college fund to help cover expenses due to the financial strain caused by the COVID-19 outbreak.
  • 6 in 10 parents had to spend money for their child’s distance learning. On average, they spent a little over $1,000 on supplies ranging from iPads and laptops (48%) to office furniture (15%).
  • Parents said the hardest part of the coronavirus pandemic has been trying to work from home while taking care of kids (31%). They’re also struggling to manage their child’s distance learning (19%) while dealing with financial strain caused by income loss (18%).

Click here for the full report.