MANILA, Philippines – A survey conducted by Visa revealed that 7 in 10 Filipino millennials predominantly used cash over credit cards. Not because they preferred cash, but because they’re not aware of the convenience, advantage, and security features of credit cards.
Lack of information is what’s preventing millennials from seizing opportunities for financial empowerment. Millennials are among the age groups with the lowest level of financial literacy. Young Filipino adults are “struggling more than their older counterpart groups with regard to budgeting [and retirement planning],” said Armando M. Tetangco, Jr., governor of Bangko Sentral ng Pilipinas, in last year’s Financial Literacy Summit.
But it’s not for lack of trying to choose – with the million and one available variations of credit cards, home loans, travel insurances and whatnot, it’s understandable for millennials to opt out of complicated financial services altogether and keep it simple with cash. This can be explained by the “paradox of choice,” where the number of options and lack of information makes it harder, rather than easier, to decide.
This smorgasbord of options, discounts, and promotions are fogging young adults’ capacity to be informed and choose wisely. And even when they’ve picked out a product, they’re still confronted by the piles of paperwork, receipts, bills, and forms that come with it.
So what’s a millennial to do to prevent financial paralysis in the face of this torrent of clutter? Easy: use technology.
Here are 4 easy hacks on how you can declutter your finances in a very millennial fashion. – Rappler.com