What is financial literacy:
The knowledge of finances, credit, and debt management that is required to make financially responsible decisions, choices that are integral to our everyday lives, is referred to as financial literacy. Paying off debt, making a budget, and knowing the differences between various financial instruments are all examples of financial literacy. Efforts to achieve financial stability, purchase a home, fund their children’s education, or secure a retirement income are all impacted by financial literacy.
Why is it important:
Financial literacy lays the groundwork for strong financial decisions. It is necessary for creating strong financial plans, setting aside enough money for retirement, and staying away from excessive debt that could lead to bankruptcies, defaults, and foreclosures.
