Why it matters
According to Hapi, “financial services products still seem to be designed for single users and not modern families where money is an equal matter.”
Hapi aims to break down the barrier of inaccessibility to financial knowledge with the help of jargon-free information pieces present within the application.
Junior ISAs have been gaining popularity since the beginning of the lockdown. According to data from HMRC, JISAs have seen steady growth since being introduced in 2011. In 2019-20, more than 1 million JISAs were opened.
However the lack of financial education means that 70% of parents choose a cash Junior ISA over a stocks-and-shares Junior ISA. The average annual amount contributed by parents into JISAs was £2,970 in April 2020 compared with £1,346 in April 2019.
In the future, Hapi also plans to offer broader financial planning and wealth management for families.
Youssef Darwich, co-founder and CEO said,
“Family finance has been left behind in recent years despite the hundreds of new fintech offerings coming to market. Securing their children’s future is just one of the many goals families have.
After we build the best Junior ISA in the market we’re going to look at all the other goals and figure out how to rebuild popular financial products to make them more suitable for families.
For example, imagine getting your end of year pension statement and being able to see the true position of you and your partner’s pensions in one place, if you’ve used your allowances in the optimal way as a household and most importantly if you’re on track to retire early together. All this stuff may sound trivial but even the largest pension providers don’t let you see it.”