Are you in your 20s? Then you are at your prime time where you can afford to take risks in finances. Doesn’t matter if you are working or going to college. Here are some of the best financial decisions you can take in your 20s.
We know the 20s are a decade of fun and enjoyment, but it is also a decade of learning and growth. During this phase of life, you will meet several temporary people. Some of them will also influence your financial life.
During your 20s, there will be times when you will face difficult times in finances. And it is often easy to get depressed and get all worried about how you will pay back loans and all. But let me tell you, it’s all okay! And you will find a way. We understand it could be difficult to see through when you are stuck in a difficult situation.
However, you are not obligated to anything except for the loans you take. And this confusion is likely to arise when you are starting your adulthood because no one has ever taught you about money, and when you start earning money, you are bound to make mistakes.
Some are small, and some are too complicated, but whatever it may be, you can always find a solution to it around the corner. So, whether you apply for a loan application in Canada or finance a vacation, we have summed up some of the best financial decisions you can take in your 20s.
Best Financial Decision
Learn about money
- The first and the most basic decision you can take is to learn about money. Money has many things to learn about: no credit checks, instant loans, or saving a sum and investing it. But everything in the world of finance revolves around money.
- If you have money, you can do anything. But not all have the knowledge about money. If you are one of them, it’s nothing to be ashamed of.
- No one is born a master of money matters. So, acknowledging that you know nothing about money is how you begin to learn about money.
- Start by reading books, watching videos, learning about financial assets, and practicing money principles.
Learn about credit
- Credit is another vital part of money. Credit means using money that you do not own but can spend and payback later. Initially, to get the credit, you can apply for a no credit check instant loan from PrestoCash.
- Unlike any other credit institution, we do not check credit score, which is a vital metric in determining the credit value of a person. So, you don’t necessarily need to have a good credit score to apply for a loan with us.
- So, we have a great way to get you started with a loan. And as you build your confidence in money management, you can start making more loans.
Build credit score
- Deciding to build your credit score is the best decision you can ever take. A credit score is the most vital information that you can have to show your creditworthiness. Even if we do not check credit scores while providing loans, we still recommend having a good credit score.
- When completing your loan application in Canada, many credit institutions ask for your credit score. Because they also need strong evidence to build trust in your payback ability. So, you can start building your credit score by using credit.
- The best channel to start building your credit score is by using a credit card. Of course, you can also apply for a personal loan application in Canada, but a credit card is easy to use and beneficial for you.
- Here, you should not start multiple credit lines together, as it can cause confusion and trouble paying back the credit.
Start future planning
- Many will disagree with this statement because, in this day and age, we have this perception that we should use this time and energy to live our best lives and not think of the future and bring our full attention to today.
- But that is a ridiculous idea! And here’s why.
- Firstly, you can enjoy your whole life and not just a couple of years in your 20s. Secondly, you can enjoy your 20s while making your future. These two things can go hand-in-hand.
- All you need is some financial intelligence and a little guidance. So, plan for the future, and set goals.
- For example, this year, let’s say you started working (assuming that you are confused in your life, same as any other person in their 20s) and want to go abroad and work there. So, start saving money to pay for expenses.
- When you get paid, put a portion of it into savings or investments for your journey abroad. How to know the amount you need to save? Simple! Check the airfare, VISA, rental, food, and any other miscellaneous costs and sum it up.
- Next, check out the current inflation rate, and double it. Now calculate how much money is in that percentage and add it to the total amount. This will be your goal amount.
- Finally, decide on the year you want to execute your plan and divide the whole cost on a monthly basis. You can follow this example to plan your future while also enjoying your present.
Get scammed
This may seem odd, but you can’t turn a blind eye to the scams. In general, if you haven’t been scammed, how will you identify the scam?
So, having some experience in being scammed has a positive impact. Just be sure not to spend too much money. As a general rule in finance, do not put money into it unless you are clear about how money is flowing from A to B.
Your Relationship with Money
- Talking about money is not a taboo. But, if you want money, you have to love money. Do not be mistaken. You have to appreciate money to make it grow, but it is not as valuable as another person. So, be wise while making money.
- Treat them the same as your other better half. It would help you be more comfortable while talking about money in public.
So, these are the best financial decisions you can take in your 20s. From here, whether you apply for a no credit check instant loan or get a credit check is your choice. There are many institutions to start loan application in Canada. So, start slowly and build your financial confidence.