Every family member should be taught money management. This is because a budget for the family is made with each family member in mind. Teenagers need to learn about money management as they consume food and buy clothes.
Every family earns or spends money every single day. Not all parents realize that their children should know how much they have in savings, how much they spend on various needs, and how much of it is spent.
Each platform rates borrowers according to their risk level and sets interest rates accordingly. Investors can choose their borrowers individually when building a portfolio of P2P lending investments. Due to the increase in borrower listing on these platforms, investors are able to invest while on vacation or stuck in traffic. It is important to appreciate and take advantage of the flexibility provided by online lending.
Don’t worry about your child’s financial situation, but make sure they understand how hard it can be to get money. Help your children to appreciate money by explaining how the money is spent, saved and received.
Children should learn to value money at a young age. Tell your children how much they have saved, and what you plan to spend it on.
Show your teenagers how to save money if they earn an income. Teach them to make a business plan and to follow it. Show them how to buy clothes and large items like TVs.
Online lending is more stable than the volatile and dangerous equity markets. There is hardly any volatility in the investments of leading P2P lenders in India, which gives them an edge over stocks. P2P lending is often perceived as a high-risk venture with high default rates by most people. P2P platforms are excellent at reducing the risk of investing in strangers.
The only thing that matters to a good investor is making money, no matter what route he takes. In India, peer to peer platforms offer investors multiple investment options with returns that range from 20-35% based on borrower profiles. P2P platforms use compound interest to multiply investor’s funds. They add the interest from the first month on to the principle for the second month and so on.
Ten years ago, such an arrangement between moneylenders and borrowers would have seemed impossible. It would be barbaric not to use such innovations. P2P platforms offer everyday investors the chance to become banks by investing in established assets.
If you don’t educate your children, they may learn to spend the money on drugs, alcohol or gambling.
Your children will need money management skills as much as you do. Teach them today so they can manage their finances from a young age and have a successful financial future.
