A little over two years ago we found ourselves facing an unknown scenario, a period of readjustment in which people had to adapt their lives towards a new normal. During this time, interest in personal finance and savings increased, revealing a unique opportunity to solve this need easily and effectively.
In 2020, Mastercard challenged me to collaborate to devise a personal finance program, resulting in Clear Accounts, its first financial education initiative in the region and of which I am a spokesperson and ambassador.
The program consists of a series of videos so that, in a simple and easy-to-understand way, the population approaches these issues.
Currently, Clear Accounts It has more than 30 videos with great interaction through the Mastercard YouTube platform. The more people learn to manage and understand their finances, the more likely we are to promote financial inclusion among the population and to promote access to financial products that improve their quality of life.
Throughout these months we have talked about different topics related to the management of personal finances, saving being one of the fundamental pillars to start managing finances in a healthy way.
To begin with, it is important to know what type of savings account to open, an open account or a closed one. In an open account, clients can receive, save and withdraw income at their own discretion. In a closed bank, the bank establishes conditions on the withdrawal periods.
It is also important to be aware of the management fees and the interests of these accounts, in order to include these amounts within the general budget.
Once the account is established, savings will earn interest in relation to the amount of money saved. The higher the interest rate associated with the savings account, the greater the extra income.
In the case of an open account, these amounts are calculated daily and the accumulated amount is paid at the end of the month. In the case of closed accounts, a deadline is agreed with the bank to be able to withdraw said amounts. Finally, it is always good to manage the least amount of accounts possible so as not to accumulate extra payments in the process.
You can also choose where to save depending on the purpose, scheduled savings are an option that works very well for specific events such as holidays or Christmas. It is important to review the terms of these closed accounts to ensure that they coincide with the purchases or investments that we want to make.
With regard to future savings with a view to retirement, it is recommended to invest them, either in pension or investment funds, always being vigilant. A good return with medium risk is around 10-15% per year. That is, for every $ 100 invested in a year, you will earn between $ 10 and $ 15.
Beware of scams, an “investment” that offers more than 50% per year is a hoax.
In the same way, We can build consistent savings habits, like setting aside funds for unforeseen emergencies. These funds do not have to mean unattainable amounts, since 70% of the debts correspond to emergency payments below $ 200, a pattern that can be corrected by managing continuous savings.
Saving is a practice that is formed with perseverance and discipline over time. There are several practices and routines that can help us improve our relationship with money, so I invite you to visit the official Mastercard YouTube channel or by writing “Mastercard Clear Accounts”In the search engine.
Financial education is one of the most important learnings. In times when we receive all kinds of incentives and rewards for the purchase of different products or services, it is imperative to have a basic understanding of the orderly use of personal finances to make the best decisions and ensure a calm and structured future.
Spokesperson and ambassador for Accounts Clear,