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Financial literacy

Paycrunch
Paycrunch
Oct 23 · 3 min read

Financial literacy is still an unfamiliar domain to the millennials. Why is it so, that you and I and most of our closest friends are unaware and indifferent and are seemingly afraid of investing? Is it because of the prevailing stigma attached to monetizing, veiling our vision, that we insist on relegating the thought process of investing in stocks, real estate or any other legitimate source of assets, to the later years?

What could be the reason behind the mysteries of the financial sector that haunts a novice to explore the services it has in store?

The education system and the scarce, open and genuine discussions on the primary front i.e at homes, schools, colleges and other social groups can be considered to be the cause of this estrangement towards loans and credit structure. The failure to explain the importance of managing expenses, investing in the right commodities-assets and the credit structure instills the fear of incurring losses and perpetuates fallacies, which keeps us aloof to even give investing a thought.

For a fact, India has a population of 1.2 billion, and 20–25 million people invest in shares or mutual funds ,that rounds about to 1.6–2% of the total population! Also, the biggest share of our population belongs to the age group of 25–44 years;27.6% of the nation’s population; out of which only 2% are inclined towards investment. These numbers are seemingly disappointing!

There is however a conspicuous myth floating around in society, that investing requires a prior cash or income base, but this is not congruent to what the experts have to say. If this is how it was, a lot of businesses and startups would have never been installed in the first place. Banks and other legitimate sources are established to alleviate people’s monetary woes. A good credit score and background works in favor of everyone who is in need of money, provided one has an authentic profile and an escalating acumen to properly utilize debt.

Working for money? Or making money work for you, choice is yours!

Robert Kiyosaki, in his bestseller, Rich Dad Poor Dad, explains how debt can be used as an income source by generating a flow of cash from assets to the income statement, along with substantial returns on investment, thereby contributing in attaining early financial independence.This can be best elucidated with the example of education. We invest money and other valuable resources like time and energy, in the preliminary years to gain knowledge, develop skills and burnish them over the years with the experiences unraveled. Later, this asset, the knowledge throughout schooling and higher education, enables us to earn and monetize our knowledge into currency.

Customers should look in for authentic platforms which strategies to lend loans to youth on an affordable EMI rate, encouraging them to not only meet out their monthly expenses but also create an income flow by using debt as an investment which is the need of the hour. In this age of the Internet where information is abundant and trends are fleeting, it is advisable and crucial to be aware of different sugar coated and attractive policies put forward to gather the audience, albeit it is also the consumer’s responsibility to know its standing to avoid fraud and the right to claim.

Investing seems to be a nearly impossible task when growing monetary needs ominously hover over our life, creating havoc in managing monthly expenses. What must be embedded in our psyche is that financial literacy transcends towards financial independence at an exponential rate.As stated above, the Titan of great monetary influence, urges youth to take debts, earn a good credit score and initiate investing at the earliest possible.The best time to plant a tree was 20 years back and the second best is now! This platitude holds the same integrity and ingeniousness for investment.

paycrunch

Paycrunch

Paycrunch

Written by

Paycrunch

A trusted platform tailored to cater monetary needs of college students.

paycrunch

paycrunch

PayCrunch is a microloan lending app that makes a POS-based credit system effortless and convenient. It is a trusted platform tailored to cater monetary needs of college students.

Paycrunch

Written by

Paycrunch

A trusted platform tailored to cater monetary needs of college students.

paycrunch

paycrunch

PayCrunch is a microloan lending app that makes a POS-based credit system effortless and convenient. It is a trusted platform tailored to cater monetary needs of college students.

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