Credit card
Nowadays, credit card and digital loan have made a special place in the life of the common man. A new study has revealed that 93% of the employed people who have earned less than Rs 50,000 are using credit cards to meet their daily needs. Not only this, 85% of the people who do their own work are considered difficult to handle their expenses without credit card. Think360.Aai looked at the methods of spending more than 20,000 jobbers and self -employment in this study for a full year, after which these data is prepared.
Low income, big expenses .. Naiya crossing the credit
Earlier the credit card was considered to be the cheese of the rich, which people kept for hobbies or status. But now it has become an important part of many people’s lives. So much that it has become difficult to spend the month without it. Whether it is to take goods from a grocery store, pay electricity bill or do shopping online, people quickly swipe the credit card.
A study has revealed that people with low income are taking out their expenses from the credit card even after their salary is over. Then next month, they pay the card bill with their salary. As soon as the bill is filled, the money is finished, and the support of credit card again. Many people are trapped in this loop and are unable to get out of it.
Today’s inflation is touching the sky. Grocery items, electricity-water bills, children’s fees and other needs are falling on the common man’s pocket. In such a situation, low -earning people are resorting to credit cards and BNPL (Buy, Pay Purchao later) after their salary is over. Study states that these people adopt these methods to meet their cash shortage.
Amit Das, founder and CEO of Think360.Ai, says, “Credit phase has changed completely. Earlier facilities like credit cards and BNPL were only for big purchases, but now these jobs, gig workers and small businessmen have become everyday needs.”
BNPL rises
Along with the credit card, the services of BNPL i.e. ‘Bay Now, Pay Letter’ are also becoming very popular among the people. According to a study, 18% self -employment and 15% of employed people are using this service. BNPL gives people immediate credit for small purchases, which can later be repaid in easy installments. Especially for online shopping and small expenses, the craze of BNPL is increasing rapidly.
Suppose someone wants to get a mobile of Rs 30,000 online, but he does not have the entire amount yet. So with the help of BNPL, he can buy the phone and can pay money in small installments in the next few months. This facility is proving to be very helpful, especially for those whose earnings are low.
But at the same time it is also becoming difficult for many people. Because many times they are unable to pay the bill on time and then they have to pay huge interest. In such a situation, BNPL can cause help as well as anxiety.
Fintech companies are changing the picture
The strength of Fintech companies is also shown loudly in this study. These companies are bringing a new revolution in the country through digital lending. In FY 2023, Fintech companies gave more than Rs 92,000 crore personal loans, which is 76% of the new loan. These figures clearly show that Fintech companies are playing a big role in meeting the needs of the people by giving small and early loans.
Fintech is not limited to loan only, but is also making the entire process of taking loans through its digital platform. While earlier, a lot of paperwork had to be done to take a loan from the bank, now the loan is approved in a few minutes on the Fintech apps. For this reason, low -earning people are also getting attracted rapidly towards these services.