Understanding Financial Literacy

Financial literacy is knowing how money works so you stay in control of it. It means understanding

where your money goes, making a simple plan before you spend it,

and saving a little so surprises don’t wreck you. It also means getting how debt and interest

work, because borrowing can get expensive fast if you can’t pay it back quickly.

Credit isn’t free money—it’s a tool that can help you later or hurt you if you use it to

buy stuff you can’t afford. And it means knowing the basics of investing and scams: real

wealth usually comes from consistent choices over time, and anything promising “easy guaranteed

money” is usually risky or fake.