Given increased access to information and resources for earning and investment, industry experts say millennial women are striving for better financial management as compared to their senior generations.
According to data from CRIF High Mark, credit consumption by women is increasing. Women in the age group of 26-35 years have taken the most number of loans i.e., a share of 40 per cent in overall disbursements in 2020. Navin Chandani, MD and CEO, CRIF High Mark says, “The research reports are a healthy sign that shows millennial women are savvy with their money and confidently moving on the path to financial independence.”
Having said so, even though money and millennial women mix well together, experts say there are a few shortcomings, which could lead to a financial crisis in the future. Sucheta Shah, Executive Director, Atlas Integrated Finance, says, “Money and millennial women do go hand in hand. Most women are professionals and have acquired different skills. They are therefore earning well and contributing to the family income. But they seem to be less disciplined. The trend is more towards spending and not saving, which could lead to financial dependency in future.”
Why should women take charge of their money life?
There were days when women used to stay away from money matters. Modern women are breaking such barriers, and financial dependence is one of them. With improved participation of women in the workforce, soaring careers and inheritance, women now possess a growing amount of wealth. But experts say financial independence is not about how much money an individual owns. It is all about making wise decisions with money, like good investment planning.
Vinit Kapahi, Head Of Marketing Aviva India, says, “Often, their key financial challenges are repaying student loans, inability to save much, and struggles with buying a home. Resolving these issues requires clever financial management and the use of different money-saving solutions and plans. Brands are now increasing ways of awareness on the importance of financial independence.”
Industry experts say women should take charge of their money life and be financially independent to be able to make their own choices in life, to cope up with unwarned emergencies, to meet the rising cost of living, etc. Chandani says, “Financial stability and wellness is something every individual must work towards, irrespective of their gender. It empowers individuals to be in complete control of their life and meet their unique lifestyle needs and future goals without compromises. Further, any kind of dependency has an inherent risk, not just on relationships but on an individual’s future economic security as well.”
Additionally, a woman standing on her own feet and capable of making financial decisions is also a source of inspiration for other women around, thus enabling a wider positive change. Kapahi adds, “Being financial independent is a self-sufficient goal that everyone should attain, regardless of gender or lifestyle. Also, a better financial decision is an essential ingredient of success in every zone of life. It makes one more confident and future-ready to face any situation of uncertainty.”