Brits need to brush up on their financial etiquette

Brits are out of touch with financial etiquette, new research commissioned by CreditExpert.co.uk reveals today. The study, compiled with the help of Ladette to Lady’setiquette expert Liz Brewer shows that when confronted by nine financial dilemmas, Brits only know how to respond ‘correctly’ to a third of them.

The CreditExpert Financial Etiquette Study questioned 1,500 UK adults and asked respondents to select how they would act in a series of financial scenarios encountered daily in modern life. Potential etiquette pitfalls included: bill paying on the first date; loaning money to friends; buying rounds of drinks; responding to bad restaurant service and sharing mortgage payments with your partner.

The study revealed key financial etiquette slip-ups by Brits; highlights include:

47 per cent would lend a friend in debt as much as they could afford

Only 23 per cent act responsibly when buying drinks in a bar

More than three quarters (82 per cent) do not think that the person who first invited their date for dinner should pick up the bill

Jim Hodgkins, Managing Director of CreditExpert.co.uk, says: “We’re regularly faced with financial etiquette dilemmas and, as well as being important from a social standpoint, they’re also significant financially. It’s all well and good buying drinks for everyone at the bar – but it doesn’t always pay to be generous. If you’re running up debts that you can’t pay off, you could be damaging your credit rating.”

First date foibles

When it comes to a first date, almost half (45 per cent) of women and just under a third overall (29 per cent) think the bill should be divided equally, yet according to Liz Brewer, correct protocol dictates that whoever asked the person out on the date first should pick up the bill.

Whose round is it?

The buying-a-round culture means we’re too generous when buying drinks in a bar. Almost half (47 per cent) of us would buy a drink for everyone in a large drinking group, but according to Liz Brewer the correct etiquette would be to form and buy drinks for a smaller group, which only 23 per cent of Brits would do. Those aged 45 to 54 are the most generous – more than half (54 per cent) would buy drinks for everybody and 18-24s are the stingiest: almost in one in seven (14 per cent) would buy a drink for themselves only.

A friend in need

When it comes to helping friends in debt, Brits are quick to hand over the cash. Two out of five (42 per cent) would lend a friend as much as they could afford – but Liz Brewer says it is often more sensible to offer advice rather than money. Londoners are the most generous and South Westerners seemingly the least: almost half (47 per cent) of the capital’s residents are willing to lend money to a friend, compared with only a third (34 per cent) of South Westerners.

Social graces

Brits are far thriftier when it comes to eating out. Asked how they would share a restaurant bill if one of their party was unemployed, 59 per cent would insist the unemployed friend contribute but a third of these (33 per cent) would allow them to pay less and only a quarter (26 per cent) would expect them to pay their full share. According to Liz Brewer, the correct etiquette would be to split the bill between the employed members only, yet only 23 per cent of Brits agree.

Jim Hodgkins added: “It pays to be savvy with how you spend your cash socially and a service such as CreditExpert.co.uk will help you manage your finances as well as alert you to any sudden changes on your credit report – and even help you to detect identity fraud.”

CreditExpert.co.uk offers a 30-day free trial, allowing anyone in the UK to access their credit report, including credit tips and tools that help manage their finances.