Financial health is the condition in which a household effectively manages its income and expenses, is resilient to financial shocks and plans its financial future with the long-term perspective.
By answering 13 questions you will be able to find out how financially healthy your household is:
In the short-term, it is important to balance income and expenses and be able to generate income surpluses, to timely pay all bills and dues and prudently manage the household budget. Apart from the day-to-day management, it is important to have resilience and be able to absorb shocks, that is have a safety cushion and be insured. In the long-term perspective, financially healthy household should have sufficient resources to finance personal development, the improvement of the quality of life and plan for the retirement. The concept of financial health was developed in the United States by the Center for Financial Services Innovation (CFSI) and was adapted by Microfinance Centre (MFC) to the context of the European countries. The MFC work on financial health has been supported by the Metlife Foundation.
Financial Institutions can improve financial health of their customers and staff by offering the Financial Health Check Quiz. First version of the Quiz was used by thousands of people. Opportunity Bank Serbia, the MFC Member, was among the first Financial Institutions, which offers the Quiz for their customers. Mirjana Panin, Director of Social Performance Management & Communications in OBS comments:
We have used Financial Health Check Quiz in Opportunity Bank during 2017 Borrow Wisely Campaign, in our internet corners in three branches. Our clients were eager to find out how good their money management skills were, and especially to receive a copy of the tip-sheet with advices on how to save more and be more prudent when it comes to household budget management. Some were surprised to learn that home insurance is very affordable and that it can be very helpful in the event of a flood, fire, etc.
This year we plan to promote the quiz not only among our clients but staff as well, in order to educate them about the concept of financial health.
This initiative helps us because it complements OBS savings education campaign entitled „Savings Hopscotch“
Interested in getting involved? Please contact us.