A worrying and growing reality worldwide, excessive indebtedness severely affects the lives of individuals and the financial health of nations.
Faced with this finding, financial education is a preventive tool to combat the lack of financial oversight, as well as to provide people with a more balanced and sustainable life.
The best way to ensure, in the future, a society with accounts “in the blue” and to make financial education permanently included in the school curriculum from childhood, so that future generations can develop basic financial skills, as well as a strong awareness of the responsible use of money. Specific training programs should be offered to adults, in turn.
But how can this serious social and economic problem be solved, in order to build a financially sound, resilient and prosperous society?
In the genesis of this phenomenon, banking law attorney Talison Luiz de Souza has identified some of the defining factors of the debt crisis of our time. are they:
- Easy and quick access to credit, offered by cards, personal loans or financing,
- Consumerism and the “having” culture, which consists in the constant pursuit of material goods.
- Lack of financial education: Lack of this discipline can increase the risk of bad decisions regarding money, as well as make it more difficult to create a balanced budget and control spending.
- Economic instability, unemployment and social inequality: the search for a quick solution to basic expenses and unforeseen financial circumstances, many resort to credit cards and other forms of financing that further complicate the situation of debtors.
In this context, the specialist in banking law emphasizes the strategic role of teaching financial education, which equips individuals with the knowledge and skills necessary for the effective and responsible management of their money, through conscious consumption regarding their choices, in order to prioritize needs, at the expense of desires of secondary importance.
It is also natural that, among those who have received training in financial education, they are more inclined to save and invest, and to contribute, with this practice, to raising the level of internal savings and creating job and income opportunities.
In order to enable people to manage their finances effectively, Talison Luiz de Souza leaves some tips:
- Saving and investing are also essential skills for building long-term wealth and financial security.
- Save money for unexpected expenses or periods of financial instability, such as unemployment or health problems.
- Set specific goals, such as acquiring a good or carrying out a project, and save regularly to achieve them.
- Study different types of investments, such as stocks, bonds, and mutual funds, and choose the ones that best align with your goals and risk profile.
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