Smartly learning the significance of spending is essential for every student while growing up. In schools, we don’t have an official subject on money management, but in life, this is a very vital and essential skill. And as youngsters, if you develop a habit of exercising this skill, you can implement it effortlessly in your future. 

It is one of the typical avenues used by most individuals for savings in India. In fixed deposits, people can save money in the bank for a definite period and can earn returns on it at the end of the term. 

​​​​​​Every person needs goods & services. The needs of consumers vary as per the age groups, though. The requirements of a kid are different from an adult. 

However, from an early age if the children learn to make good buying choices, then it will help them a long way as they grow into an adult. As children, you may have pocket money, and with that, you can buy something irrational or something beneficial. Making the right choice is the key to using the money wisely.

Bottom line

Though we have discussed most of the hacks to make smart purchase decisions in the marketplace pertaining to materialistic needs and wants, however, if you also learn tricks to be smart with money, you will be able to make better buying decisions.

“When you gain control over your spending habits, you learn the power of ethical decision making that helps you during the entire lifetime.”

An ATM card is plastic money or a payment card issued by a bank that enables a customer to access cash through Automated Teller Machines (ATMs). An ATM card is a PIN-based card. A four-digit PIN is a security feature, similar to a password that protects the card. You should always keep your PIN (Personal Identification Number) confidential to avoid misuse of your card.

Note: All banks levy some amount of annual fees on the ATM Cards.

Demonetization is the act of withdrawing a currency unit from its status as legal tender. For example, the honourable Prime Minister Narendra Modi announced the Demonetization of Rs. 500 and Rs. 1000 currency notes on the 8th of November 2016. He mentioned that the move would take place with immediate effect in his address to the nation, which will be remembered forever in the history of India because of its significance and impact on the nation’s economy and related issues. 

RCEP stands for Regional Comprehensive Economic Partnership. It is an agreement between the members of the ASEAN countries and their FTA (Free Trade Agreement) partners. It deals with trade in goods and services, etc.

​​​Bank customers can do their transactions through these avenues – Online and Offline banking. Online banking is also known as Internet banking. It is convenient and customer friendly. To do online banking, one needs to know about the internet. Thus, those who are unaware of its use do their transactions through offline banking, which means visiting a bank branch.

Bottom line

Brick-and-mortar / conventional banking and online banking methods – both have their pros and cons. Hence, it is advisable to fulfil one’s banking needs through a combination of both.

Even in today’s digital age, paper cheques are still standard for making payments. A cheque is a banking instrument through which a person or an entity transfers money to another person or entity. Though writing a cheque is easy; however, people need to take care that they don’t skip any step or make mistakes while writing it. The bank rejects it if there is an error.

Consolidation of banks is a phenomenon of amalgamating one or more banks into the other bank. The bank into which other banks merged is called the “Anchor Bank”.

Did you know?

The Bank of Bengal, the Bank of Bombay and the Bank of Madras were amalgamated in 1921 into the Imperial Bank of India, which was later converted into the State Bank of India in 1955 when the Government took over control of its operations.

Inflation refers to the increase in prices of any goods and services, whether essential such as food, clothing, housing rent, property (apartments, land) prices, transport (cabs, buses, trains), or non-essential such as cosmetics, jewellery, cars, etc.

To learn about Economy, click here.