Wizley Blog

  Credit - a word used quite often in our financial conversations, in some form or the other. Every time you thought about borrowing some money from a friend or taking a loan from the bank - you were actually thinking about credit. So what exactly is credit and how does it work? Let’s find out. What is Credit? Photo by  rupixen.com  /  Unsplash Investopedia defines  credit  as ‘a contractual agreement in which a borrower receives something of value now and agrees to repay the lender at a later date—generally with interest.’ So, when you (borrower) take a loan from a bank (lender), you agree to repay the loan amount within a stipulated time with interest. This is credit as we understand it in our daily lives. Credit can also mean credit cards, credit reports, credit histories or credit scores in certain cases. Credit is also used when an individual receives money in cash or in his or her bank account. So a credit transaction like salary in your bank statemen...

  Learning to make a budget is the first step in any financial journey. Whether we like it or not, we are all part of a complex economic system. We live in it and interact with it every single day of our lives. In such an environment, if one wants to grow, it is crucial to understand how this system works and what are the best tools that one can use to navigate this system smoothly. One such tool is a budget planner. There are a lot of budgeting tools and budget planners available on the internet. Some of these are complicated and could make budgeting seem difficult, but if one understands what a budget is and the essential components that a reasonable budget should cover, a pen and paper are all you would need to create an easy budget that works well. What is a Budget? A budget is a plan that you make for yourself regarding your spending habits. There can be many types of budgets, depending on your purpose behind creating one. You could make a monthly budget, weekly budget, or eve...

  A financial advisor is a finance professional who consults people regarding their finances. Many components come under this, like insurance, investments, emergency funds, etc. Whenever you get a house renovated, you hire an interior designer similarly; whenever you are making any money-related decision that you are not entirely sure of, it is highly advisable to consult a financial advisor. It is essential to understand that no matter how much money you earn, you will not have a financially secure life unless you manage it well. There are many stories of millionaires who went broke and low salaried employees who built a fortune. The only difference being in the way they manage the money they earn. Warren Buffett said it better -  "If you are not making money while you are sleeping, you will be working for the rest of your life." Here are a few things that you can talk to your financial advisor about: How much you should save each month? How you should budget your day to day...

  Cryptocurrency is a decentralised digital currency secured by cryptography and is based on blockchain technology. To grasp the concept of cryptocurrency, one must first comprehend three terms: blockchain, decentralisation, and cryptography. In the case of cryptocurrencies, a blockchain is a digital ledger whose access is dispersed among authorised users. This ledger keeps track of transactions involving various assets, including money, real estate, and even intellectual property. Start saving in digital gold with as low as Rs 10!  Download Wizely The origins of  bitcoin  technology can be traced back to discovering a "blinding algorithm" in the 1980s. Secure and unchangeable digital transactions are at the heart of the algorithm. It is still essential in today's digital currency. In 2008, a group of persons (now known as Satoshi Nakamoto) devised the guiding principles behind Bitcoin. The first and the most popular cryptocurrency is Bitcoin in the market. Bitcoin w...

  What Affects Your Credit Score? A quick look at the factors affecting the credit score: Payment History : This is the most important factor to impact your credit score. If you miss your EMIs, delay the payments or have late payment charges, it will bring your credit score down. Credit Utilisation Ratio : It is the amount of credit you use against the total limit of credit you have. Ideally you should use 40% of your credit limit. A low credit utilisation ratio means you can manage your credits. A high credit utilisation ratio brings down the credit score. Credit History : A long credit history is beneficial. It gives the financial institution how you have managed your credit. An inside tip is to keep your old credit cards open, as they have a long credit history. Good mix of loans : It is advisable to have a good mix of secured and unsecured loans. A home loan is a secured loan and a credit card an unsecured loan. What to Avoid for a Good Credit Score? Avoid missing out payments ...

  Paying taxes is a legal and moral responsibility for every citizen. People are always on the lookout to save income tax. No one likes to miss out on ways that can save them money paid as tax, and sometimes, they just stick to the methods they have been applying and, as a result, resulting in missing more productive ways of saving tax. With suitable investments, you can  save much more  on income tax. Here are five ways to save your income tax in 2021: Invest in Education -  This comes under section 80E of the Income Tax Act. The interest amount paid against an education loan is not taxable. Premiums are liable to tax benefits over and above the claims of ₹1.5 lacs, and there is no maximum limit under Section 80E under which it can be filed. Individual taxpayers can apply for this benefit, but it is not open to Hindu Undivided Families. Like ULIPs or traditional savings plans, most child plans fall under conventional life insurance policies, thereby offering similar...

  Saving money is difficult, we all know that, but did you know that it can be made a little easier and enjoyable using some creative tricks. See, saving money is all about building the proper habits, and if you can think of some interesting methods that will almost convert saving money into a game, you can get consistent at it while having some fun. We have compiled a list of some straightforward ideas that you can easily incorporate into your life, and we are confident that they will help you save a lot of money in the long run if you follow them the right way. Building good financial habits can help you retire early in life.   True   False Submit So let's get right into it. Invest all the unexpected income and financial gifts -  When you get a bonus or a monetary gift from a friend or family, you don't need that money to maintain your lifestyle. It is extra income, and if you don't have a plan, you will probably spend it immediately on something you didn't plan fo...

  If you have trouble saving and managing your money, there are apps available now that you may use to get started. Start saving with just Rs 10 with Wizely!  Download Wizely To help you manage your funds, here are India's top ten saving apps to help you get organized with your finances: 1. Mint If you want to get your money in order,  Mint  is a good choice. Apart from keeping track of your spending and integrating your bank accounts to obtain a complete picture, the app analyses your spending habits and provides helpful advice on saving more and where to cut back. Also read:   Save For All Your Life Goals with Wizely 2. Wizely If you care about your financial health and want to earn rewards then you’ve found the right app that’s being used by over a million Indians!  Wizely  makes it easy for you to create saving plans and save any amount and any time for emergencies and other life goals. You can start saving with just Rs 10! It also provides persona...

  "First forget inspiration. Habit is more dependable. Habit will sustain you whether you’re inspired or not." - Octavia Butler Most of our lives are dominated by our habits and it holds true even for our finances. As per a  study  by the Duke University, habits (actions that tend to repeat themselves) make up around 45% of our daily behaviours. So naturally, if we want to change aspects of our financial lives - save more or cut unnecessary expenses or pay bills on time - then the best way to go about it would be to modify our habits. The good news is that habits are relatively easier to form and sustain. And you don't have to make drastic changes at once - you can start small and build on sustaining those good financial habits over time. If you eventually want to achieve financial freedom, then you must start with forming good money habits.   True   False Submit So what are the 3 simple things you can do to improve your money habits? Start with Smaller Changes ...

  Creating a budget can often be a time taking and challenging task. Estimating all your expenses beforehand might seem like an unnecessary chore. However, if you ask the people who have a habit of creating a budget monthly, they will tell you the benefits that this simple practice can have. Creating a budget is one of the most crucial components of any financial journey. It is good to know that there are plenty of budget planners available online for free that can help you create a budget in a matter of minutes. So let us look at five budgeting tips that you must keep in mind before you use a budget planner and  create a budget  like a pro. 1. Save Before You Spend Before starting to create a budget it is crucial to understand the importance of saving some part of your income as soon as it comes. Whichever budget planner you choose to use, it will ask you to enter your income initially. In this section, you should always enter the amount you have left over after saving a...