Should I Take A Debt Consolidation Loan?

Materialistic needs and high expectations can trap us in an endless loop of debt. After all, who can resist using that leftover limit on your credit card, a zero percent EMI offer, or that sale with huge discounts?

Would you be taken aback if we told you that the same financial system that gave you all the loans also gives you a way out of the problem? 
Lately, personal loans have become increasingly common – especially for debt consolidation.

A personal loan to pay off high-interest credit card debt might sound harmless, but it shouldn’t be done carelessly. 
Rolling multiple debts, typically high-interest debt such as credit card bills, into a single payment is plausible for moderate amounts of consumer debt.

You can use a personal loan for anything and everything you want. But if you’re thinking of using it as a debt consolidation loan, here’s  a list of things to keep in mind:

A good credit score:

If you want favourable terms and a low-interest rate on your loan, you’ll need at the very least, a good credit score.

You have debt with high-interest:

If you manage to qualify for a lower rate than what you’re paying currently, going for a debt consolidation loan should be a no brainer. 

You have a repayment plan:

Credit cards have no preset repayment plan. If you continually use your card and pay only the minimum amount due every month, you could very well be stuck in a debt trap. Personal loans have a set repayment term making them an outstanding alternative.

Single EMI vs Multiple EMIs:

A Personal Loan for debt consolidation allows you to centralize all your EMIs into a single EMI and pay off your debt, so you no longer have to keep track of the various EMI dates or fret about missing them. Of course, making a monthly single loan payment via EMI is easy.

Debt consolidation for debts on credit card:

If you fail to pay off your credit card dues on time, you will greet penalties. Instead of using revolving credit on your cards, you can take a single Personal Loan which enables you to pay a lower interest rate on your debt. You can also pay it off in easy EMIs over some time.

Quicker Debt Payoff:

A personal Loan comes with a fixed EMI and interest rate over a stipulated tenure, varying from 3 months to 3 years. After debt consolidation, you can also pay off your loan in a short period, with a single payment each month, at a fixed rate of interest. 

If you find yourself persuaded to step into the province of Debt Consolidation, before you apply, figure out what the loan’s lifetime cost will be. We suggest you use a credit card payoff calculator and analyze your expenditure if you continue paying on your credit cards instead.

Then determine if you’ll save sufficient to make the loan process worth it.
Consider the loan quantities, repayment periods, and other features to ensure you find the exact fit. The best debt consolidation loans offer low-interest rates, flexible repayment terms, and low or even no fees. Lenders mostly allow you to get prequalified for a loan before you officially apply.

A consolidation loan may be alluring because it frees up available credit on your credit card. But if you just transfer the debt, and rack up more on those cards you just paid off, you could end up in an even worse financial situation.

Before moving forward with a loan, we advise you to address potential spending issues.
Countless people are now turning to platforms like Fibe to avail loans instantly and especially in times when stepping out of the house is dangerous. Honestly, the SalaryCard from Fibe is your easiest solution.

At Fibe we offer Financial Wellness solutions, Financial Planning, and many more services. Click here to acquaint yourself with the benefits of availing loans from Fibe and the required procedures.

Download the instant loan app here, or simply log in to our website and be a part of the #OneSmallStep experience.

What do Appraisals Look Like for the Post-Pandemic Year?

Organizations are in a bind when it comes to performance appraisals this year, with interesting implications in line for pay increases, along with the retention of top talent, and overall employee morale in these unprecedented times.

We have already begun to feel the effect of the coronavirus pandemic on key business and people processes through sectors as the global economy struggles to cope. At this point, it’s difficult to estimate the possible cost of this outbreak because we’re still trying to deal with the crisis. However, we can see how the pandemic is impacting different organizations.

The objective of performance management is to pursue a method that helps individuals and teams manage themselves efficiently to achieve their objectives and organizational success. To be efficient, effective performance management should build unity and a common understanding of what needs to be accomplished and what individuals or teams must do, learn, and improve.

Performance reviews are used to equate an employee’s accomplishments to their objectives and aspirations, as well as to set performance criteria for various positions and levels.

Owing to the current state of affairs and low or no business demand, all companies in all industries have reduced critical operations. The aviation, transport, hospitality, and tourism sectors have been hit the hardest by the lockdowns. The car industry is also experiencing significant supply chain disruptions as a result of the outbreak. Salary increases and bonus pay-outs are likely to represent the financial effect of the recession across companies, and these industries are likely to be the hardest hit.

Projected Wage Increase: 9%

Also, the prolonged economic recession that followed the virus pandemic is expected to affect the pay-outs this year. In 2020, Indian workers’ wages are projected to rise by 9.1% on average. According to an Aon report, this wage rise was the smallest in a decade, reflecting the economic downturn we were witnessing. However, the impact of the pandemic on the global economy would be greater. Many companies are taking a wait-and-see approach to determine the current situation, so we can anticipate gradual delays.

Furthermore, we should expect hikes to be cautious, with a greater effect on bonus payouts than fixed pay raises since they are a result of an organization’s business success.

According to a study in a leading financial newspaper, India’s IT services sector will have to freeze pay raises and reduce incentives to cope with the losses incurred as a result of the Covid-19 pandemic. 

Many businesses have communicated the possible financial effect of the pandemic on their workers. Because of the coronavirus pandemic, Google has reported delaying employee performance evaluations and promotions. Back in 2020, Apollo Tyres had confirmed that its top management would receive a pay cut ranging from 15% to 25%. Air India, which is owned by the Indian government, has also announced a cut in allowances. 

Employees are also nervous at the moment, and they are vulnerable to rumors and speculations about appraisals and wage increases, which can damage employee morale. Although the economic downturn is inevitable, we must note that it will pass. Our workers are our most valuable asset.

Employers can create a loyal, committed, and empowered workforce during periods of crisis by being prudent and open in their decisions and communication. It’s time to connect with staff and control their desires. This necessitates companies being proactive and explicitly communicating to their workers the financial effect of the economic recession on revenue and profitability, as well as how this relates to bonus and salary increases. This will not only help them explain the salary changes they intend to make in the future, but it will also help them maintain employee productivity and minimize future turnover.

Organizations cannot afford to lose top talent at a time when they are searching for creative ways to ensure business continuity. As a result, rather than postponing assessment conversations, holding them now would help with future growth and aspirations. In addition to immediate monetary rewards, recognized talent must be told they are top performers through appraisals to be retained. Employee apprehensions would be reduced as a result of appraisal talks, as will greater openness in communication, which is critical during these periods.

This coronavirus pandemic has forced companies to make difficult choices, but it has also allowed them to reflect, rethink their strategy, search for ways to cut additional costs, be creative, introduce effective business continuity models, and most importantly, learn to cope with these difficult times resiliently when leading their teams. These are the groups that will assist organizations in regaining their footing when the time comes.

The year 2019-2020 witnessed a number of layoffs due to the effect of Covid 19.  The most famous of them being Uber technologies who laid off 3000 employees in India. A number of such other countries also laid off employees under pressure from lesser economic activities in the lockdown periods. This definitely resulted in resentment in the hearts of the employees. On the other hand, in the post covid scenario, companies are gradually coming back on track and have started with increasing the salaries of their employees. This has in fact given a boost in the moral status of the employees and increased their performance.

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Here’s How To Get Started on a Financial Wellness Program

Financial wellness has become one of the top concerns for employers and employees alike, throughout the world. The increased sensitivity of several organisations towards their employee’s financial wellness is extremely visible from the Bank of America Report, titled “ 2020 workplace benefits report”. In the said report, it was recorded that as many as 62 percent of the employers feel “extremely responsible” for their employee’s financial wellness in the year 2020, as opposed to just 13 per cent in the year 2013. 

On an individual employee level, financial wellness and the associated stress are some of the most significant concerns in most of the workforce. In fact, according to the Betterment for Business report (2020), as many as 77% of millennials and Gen Z in the workforce are of the opinion that thinking about their finances causes them stress which consequently affects their performance at work. 

From the above reports, it is easy to gauge that in the present times, a financial wellness program has become a must-have benefit for all organisations, regardless of their size or structure. 

Financial wellness Program: What exactly does it mean 

In contemporary times, the organisational setup as well as its goals have become fairly dynamic. A vast majority of the organisations recognise the fact that there is a palpable rise in the employee’s expectation from a financial wellness program. Therefore, it is pertinent to understand what exactly a financial wellness program may mean to each and every stakeholder involved. 

The concept of a financial wellness program has evolved from the exponential growth in the complexities in the field of personal finances. Along with the abundance in the availability of personal finance options, financial wellness programs are essentially aimed at providing effective assistance to all the employees in meeting their personal finance goals.

For instance, with the COVID 19 outbreak, it was seen that even the remote employees needed assistance with respect to the contingent situations arising such as an unexpected medical bill or managing the household or personal finances with salary cuts.

Essentially, a financial wellness programme can entail assistance with respect to matters like consumer credit building, financial goal setting, financial crisis management, personal and household budgeting among others. 

Financial wellness program: Where and how to start

Owing to the very subjective nature of the benefits that a financial wellness program aims to provide, it is not possible to have a straight jacket formula as to what an ‘ideal’ financial wellness program can be. Since personal finances and its related problems will be different for different employees,  no one-size-fits solution can be laid down which will make a financial wellness programme tick.

However, since it plays a  very important role in the organisation’s success, here are a few steps that you can keep in mind: 

  • Identify the diverse and contemporary needs of your employees

The workforce today is far from being homogenous. It comprises people of different generations, different backgrounds and varied personal finance goals and aspirations. The first step is to identify what is the void that we are trying to fill by way of this financial wellness program. 

  • Try finding offbeat approaches or combinations of approaches to the financial wellness of the employees 

Different kinds of personal finance problems can be tackled by different kinds of techniques. It is pivotal that you pick and choose the techniques and facilities that effectively help your employees in the most effective manner. For instance, Google not only offers financial advisors and financial education but also extensively believes in showering its employees with perks like free lunches, happy hours, snack bar et al. So, it is pivotal to choose from a plethora of services that are available today to make such a financial wellness program which suits the needs of your workforce the best. 

  • Have a robust feedback mechanism in place 

Since matters pertaining to personal finances can be extremely subjective, it is important to keep a line of communication open constantly for the ultimate beneficiaries of the financial wellness program. For instance, the personal finance needs of the employees significantly changed during the COVID 19 Pandemic and from office perks, more emphasis had to be given to medical facilities, ergonomic needs for WFH et al. 

  • Try to set up tangible goals for the success of the financial wellness program 

You can set up certain parameters and benchmarks for measuring the success of the financial wellness program and can periodically review its viability keeping these benchmarks and qualitative checks in view. This will render your financial wellness program extremely dynamic, along with being perfectly aligned with your organisation’s growth. 

Concluding words 

Having a well rounded, dynamic and personalised financial wellness program for each and every one of your employees may seem to be a tedious task.  The task is painstaking but definitely not impossible to manage. You can look at how popular brands have designed their financial wellness programs and try to fashion one of your own for your organization.
Apart from that, you can also partner up with a 3rd party organisation that has the requisite knowledge and specialised skills to handle all personal finance needs of your employees. 

We, at Fibe, are your perfect financial wellness partners. With loads of services at your disposal such as easy salary advances, instant loans, flexible EMIs among other things, we can take care of all your employees’ financial wellness needs with just a few clicks. What are you waiting for? Partner up with us and take care of all of your organization’s financial wellness needs. 

Get started on the Fibe experience now!

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How to Correct CIBIL Score: A Detailed Guide to CIBIL Report Correction

CIBIL scores are significant to prosper in any financial avenue, such as taking a loan or a credit card. This is why learning how to correct the CIBIL score is essential. Financial institutions, including banks and NBFCs, look at your credit score to ascertain your creditworthiness and whether or not you are eligible for loans.

By carrying out the correction process in case of any issues, you can boost your creditworthiness and get easy access to credit. But how can you raise a dispute and maintain the accuracy of your CIBIL score and report?

It is easy to correct credit report mistakes if you know exactly when and how to correct a CIBIL report. Even after you spot the errors in your credit report, the bureau may take a while to resolve your dispute. This is because of a certain set of standard procedures that credit bureaus like TransUnion CIBIL follow. 

Read on to learn more about the process.

How to Spot Credit Report Errors?

Sometimes, there may be minor errors in your report, such as misspelt name, wrong date of birth, incorrect or outdated residential address, etc. It can also be a major error, such as a wrongly credited loan or an outstanding credit balance.

Resolving minor errors is not much of a hassle. However, major issues can be challenging and may take some time to reflect corrections on your report. You can identify any issues by downloading your credit report from the official website and then applying for a CIBIL report correction. Here is an in-depth review of the types of errors you need to look out for:

  • Inaccurate Personal Information

Sometimes, your personal information on the credit report, such as name, age and contact information, could be either misspelt or missing. While going through your report, make sure all the details are correct. Additionally, check there is no error in your Aadhaar and PAN details.

  • Current Balance is Not Updated

Sometimes, your credit report may show an error in your credit balance. These errors occur as a result of the gap between the payment time as the financial institutions only report to the credit bureau every 30-45 days. Thus, it is imperative to check your report periodically.   

  • Incorrect Overdue

Overdue is the amount that you owe your credit provider, which has a significant impact on your credit utilisation ratio and overall score. Thus, it is vital for you always to double-check your overdue amount. 

  • Outstanding Loans

You must check for your outstanding loans and their status. If you have repaid the loan but your credit report says otherwise, immediately file for a CIBIL report correction online. Any delays in payment are reflected in your report and have a significant impact on your creditworthiness. 

  • Duplicate Account

There is a slight possibility of the same account reflecting more than once in your CIBIL report. This can increase your debt, leading to a negative impact on the score. You may also see an account that you have not authorised that has been opened by a fraudster. In such instances, contact your issuer or lender immediately or raise a dispute. 

In conclusion, you should look for incorrect figures, loans/cards, dates or due dates and ensure that the information in your credit report is correct. 

How to Raise a Dispute on Spotting Errors in the CIBIL Report?

For good financial health, you should know how to correct the CIBIL score. For this, you can raise a dispute through the CIBIL website or by sending a letter to the registered office address. Here are the steps to correct the CIBIL report online and offline.

Online CIBIL Dispute Resolution

  • Step 1: Log in to myCIBIL.com with your user credentials
  • Step 2: Check your latest CIBIL score and report  
  • Step 3: Fill the Dispute Request Form online
  • Step 4: Submit the form

Once you successfully submit the dispute form, the bureau will forward your request to the concerned financial institution. They will then review your data and make the required changes. 

You can check the status of your dispute by logging into your CIBIL account. Remember, the entire process may take at least 30 days and you will receive updated and accurate reports from the credit bureau.

Raise CIBIL Dispute Offline

To raise a CIBIL dispute offline, you can write to TransUnion CIBIL by mailing the registered office. You can send the letter with the relevant documents to this address:

TransUnion CIBIL Limited 

(Formerly known as Credit Information Bureau (India) Limited) 

One World Centre, Tower 2A, 19th Floor

Senapati Bapat Marg, Elphinstone Road, Mumbai – 400013

Ph: +91 – 22 – 6638 4600

Specific Problems Reflected in Credit Reports with Solutions

For easier reference, here is a list of common problems associated with credit reports and possible methods to obtain solutions.

  • Problem: Poor Credit History

A low credit score on your credit report indicates irresponsible credit behaviour in the past. Frequent delays in repayment, high utilisation of credit, credit card debts, etc., are some reasons leading to a low credit score. This reduces your ability to avail of credit in the future.

Solution: Make sure you pay your credit card bills and EMIs on time. Borrow only what you need and as per your repayment capacity and avoid making minimum payments. If you’re unable to work with the current plan, try and work out an alternative payment schedule by restructuring repayment with your lender.

  • Problem: Errors in Personal Information

These are minor errors that include misspelt names, age, contact information and errors in account details.

Solution: Get your credit report copy from the credit website and check your personal information. If you spot an error, raise a dispute by filling up the online CIBIL dispute resolution form.

  • Problem: Days Past Due (DPD)

DPD means the number of days since you’ve not paid the due amount. Anything other than ‘000’ or ‘XXX’ in your DPD section indicates you have delayed your payment. This paints a bleak picture of your credit usage and responsibility and lowers your score.

Solution: Multiple late payments will lower your credit score. The best way to avoid this is by setting monthly reminders to pay the amount due before the given due date. You can also set auto-debit instructions to ensure you don’t miss a single payment. However, make sure you have sufficient balance, or you may have to face a penalty from the bank too.

  • Problem: Error With Account Ownership

There may be a few accounts mentioned on your credit reports, but they may actually not be yours. Known as errors with account ownership, this could be an administrative error or could indicate fraudulent usage.

Solution: If there are incorrect mentions of open accounts on your credit report, raise a dispute immediately to avoid further errors. If there are administrative errors, you can raise a dispute to correct them. If it is a fraudulent account, early action will protect your information and creditworthiness.

  • Problem: Overdue for Paid–Off Accounts

Your credit report may show an outstanding overdue amount which you have already paid. There may also be an error in the payment history despite regular payments.

Solution: The lenders submit their data to credit bureaus once in 30-45 days. If you have received a copy of your credit report within this time period and there is an error, it could probably be because your data is not yet reconciled. If there isn’t any change after 45 days, raise a dispute with the bureau to rectify the error.

It is essential to have a high credit score and to attain this, you need to make sure your credit report is up-to-date and error-free. So, generate your credit report regularly and make sure your credit score is not affected by any of the errors mentioned above.

Also Read :  Why CIBIL Score is Important

How to Improve Your CIBIL Score?

Having a low score despite an accurate report means that you need to make some changes to your credit behaviour. With most lenders, a credit score of 750 or above may be helpful in negotiating favourable loan terms. To get there, here is how to correct the CIBIL score with disciplined actions:

  • Make timely payments of your EMIs and credit card bills
  • Raise a dispute with the bureau if you detect any errors in your report
  • Maintain older credit card accounts with excellent repayment patterns
  • Avoid applying for credit too frequently or with many lenders simultaneously
  • Don’t opt for the settlement option
  • Keep your credit utilisation ratio at an acceptable level of 30% or under

Having a healthy credit score can come in handy at any time, more so during emergencies. Therefore, build good credit habits to stay credit-ready. However, if you have a low score and need instant access to funds, you can apply for loans with lenders like Fibe.

At Fibe, we don’t rely on credit scores to gauge your creditworthiness and instead have an alternate credit scoring system. With the Fibe Instant Personal Loan, you can get cash of up to ₹5 lakhs at attractive interest rates and flexible tenures. Download our Personal Loan App or register on the website to apply seamlessly online.

FAQs on CIBIL Report Mistakes

How can I correct my CIBIL score mistake?

You can carry out the process of CIBIL score correction online by submitting the dispute form available on the credit bureau’s official website.

How long does it take to correct a CIBIL score?

Rectifying an error in your credit report and score can take up to 30 days.

What if my CIBIL report is wrong?

If your report has any inaccuracies or inconsistencies, you should immediately report the same by submitting a dispute form available on the official website.

How can I update CIBIL immediately?

Rectification of the errors in your CIBIL report can take up to 30 days. As such, you cannot update the report immediately.

In how many days is the CIBIL score updated?

The credit bureau updates the information in your CIBIL report every 30 to 45 days. You can check your CIBIL report once a month or once every two months to get the updated information and score.

How to clear overdue amounts in CIBIL?

An overdue is the outstanding amount for the previous billing amount. Once you pay all your dues, including EMIs and credit card bills, the overdue amount reflected in your report will clear and your score will improve.

How to report the wrong CIBIL score?

Your CIBIL score is a culmination of the information in your report. As such, you cannot correct the score but rather any inaccurate information in your report. For this, you must learn how to correct a CIBIL report by raising a dispute through an online form. Generally, the bureau takes at least 30 days to offer a resolution.

What is the control number in a CIBIL dispute form?

A control number refers to the ten-digit number mentioned in your CIBIL score report.

How can I correct my CIBIL score immediately?

Two ways to improve your score are to fix credit report errors and pay outstanding EMIs and credit card bills. Even if you take these two approaches, your latest credit score will get updated in 30 to 45 days.

Is it possible to repair my CIBIL score?

Yes! Here are some ways you can achieve a correct CIBIL report:

  • Pay your EMIs and credit card bills on time by setting up autopay or reminders
  • Raise a dispute to fix any errors in your credit report
  • Avoid applying for loans and credit cards frequently
  • Opt for different types of credit
  • Keep your old credit accounts open

How to remove a closed account from your CIBIL report?

Depending on whether they have a positive or negative history, an old account can stay on your credit report for up to 10 years. To remove them, you can file for dispute or formally request your creditor to remove them.

Looking for consumer credit options in this economy? Here is how to do it.

Compiled By : Vimal Saboo, Chief Business Officer at Fibe

About Vimal: He is a Chartered Accountant and comes with an experience of 22 years in banking and credit domain. In his current role at Fibe, he focuses on building the Credit Risk Profiling system and spearhead Credit Risk, Analytics, Collection & Operations.

Retail consumer lending started to pick up momentum in 2000-2004 when private sector banks started focusing on consumer lending, but it had a setback due to the global recession in 2008. The industry came out of recession in 2-3 years and again started to pick up momentum from 2012. In the last 5 years, consumer lending has picked up significant momentum due to participation/innovation from Fintech. 

In India, there are approximately 30 crores individuals who have taken some form of credit from the organized market, and most of it is in the form of consumer durable loans or Kisan credit cards. Total consumer credit outstanding in India is approx. US$ 720 Billion (around Rs 52 lacs crores). Per capita, the average debt outstanding in India is around US$ 550 (Rs 40K) which is around 30% of per capita income.

In the USA, credit culture has been there among consumers for more than a few decades wherein people buy almost everything on credit card and pay in Equated Monthly Instalments. 

Just to give a few numbers, credit card outstanding in the USA is almost US$ 950 Billion translating to approx. US$ 6,500 per capita outstanding. In the US, almost 61% of people have at least one credit card and the average person has 4 credit cards. Mortgage outstanding in the US is around US$ 10 Trillion. An average personal debt carried by an American is around US$ 93,000 which is around 175% of per capita income.

Millennials and Gen Z are more willing to take credit to fulfill their aspirations/discretionary spends hence there will be more consumer credit growth in the next 10 years. Also, with more product innovation like short-term loans, Debit card EMI and buy now pay later (BNPL) in addition to traditional products for buying home, vehicles, credit is becoming more easily accessible by improving customer onboarding experience. 

Now customers have multiple choices for credits at various places like small credit being offered (around Rs 5-10K limit) at different e-commerce platforms to use while buying products/services and pay them in bulk/EMI OR buying the product at zero cost with help of merchants tying up with lenders. 

While the consumers have lots of options but at the same time, the consumer needs to behave rationally/responsibly while taking credit and/or repayment as he has been getting multiple tiny limits from various e-commerce platforms.

Although there is an increase in credit cost due to COVID 19 and its impact will still be seen for the next 2-4 quarters also especially coming from the SME/MSME sector. However, lenders are coming back and started lending aggressively with the introduction of newer products.

Let’s Make Our Finance Full of Colors

Excited to welcome spring and celebrate Holi, most colorful festival of the year? The festival not just reiterates the happiness of being together and embracing each other irrespective of our differences, but also reminds us to get over the evil. 
This year, you can make Holi more colorful and merry with your financial portfolio. As the festival of color is approaching, we share with you 5 ways to make your financial portfolio brighter and more colorful.

1)Get Rid of Bad Debt & Financial Clutter

First step towards financial happiness begins with decluttering. Just like the bonfire on the night before Holi marks the burning of Holika or victory of good over evil, begin with paying off bad debt. Cleaning financial clutter needs time but should be done quickly as they cost you more in terms of interest rate and also erode the potential tax benefits and poorly impact your credit score and creditworthiness. 

As a rule of thumb, steer clear of any form of bad debt or debt for debt, review your bank statements and credit card statement to trace financial clutter. This way you can improve your CIBIL score and get much better offers and interest rates on your future debt applications. It’s a double-edged sword which must be used with caution. However, if you face a cash crunch, stemming from temporary cash-flow problems or emergencies,  evaluate your options and choose the right lender. Borrow from reputed financial sources, such as banks or instant cash loan apps such as Fibe, that offer loans at rates as low as ₹9/day. 

2)Diversify your Assets

Get inspired from the hues of the festival and take a step towards portfolio diversification to reduce your risk exposure and increase return potential. Follow the age old saying- don’t put all your eggs in the same basket. 
A well diversified portfolio should have both market-linked assets which have earning potential of above-average returns and fixed income securities such as bonds, fixed deposits, etc. Some instruments for market-linked instruments are index funds, equities, Systematic Investment Plans or SIPs. This will make sure that your financial wealth grows with the variety of financial instruments just like your excitement from that assortment of gujiyas and laddus. Invest more, spend more!

3)Portfolio Monitoring and Evaluation

Wise spending and smart investing are just the tip of the iceberg. The real challenge is in maintaining a good portfolio and churning at the right time to maximise your wealth. Just as you get together with your friends and family to celebrate Holi amid your busy schedule, make sure you sit with your loved ones to discuss future financial goals, evaluate present investments and check if your portfolio is in sync with your goals and market movements. Check if your portfolio returns are beating inflation and if not, then they may need a churn.  

4)Value Investing 

Just like you check the goodness of sweets and quality of colors during Holi, make sure you check fundamentals such as vintage, credit rating in bonds and other funds, dividend history and most importantly the economic moat. Fundamental analysis can take you a long way in value investing and help you create wealth. 

5)Play safe

Market euphoria is a real phenomenon so watch out for the bubbles and hedge your market exposure accordingly. Follow the advice you give your kids on Holi, to play safe and not to be over enthusiastic. Evaluate your risk appetite and take money decisions accordingly. You can also take a financial advisor’s help to build a portfolio and play safe.
We hope this Holi is full of pretty purple, bright blue, and sun-kissed gulaal and so is your finance. Amid the pandemic, hold on to the spirit of the festival and add colors to your boring and morose portfolio with the above tips. 

Explore Fibe, and know how we can help you with financial wellness ideas, credit, or loans to fulfil instant cash needs, by downloading the Fibe app now.

Download the instant loan app here, or log in to our website and be a part of the #OneSmallStep experience.

Women Ruling The World

Compiled By: Xama Mehta

About Xama: She is an experienced, progressive Assistant Manager Human Resource at eInfochips. She has worked for over 9 years across several domains – Employee Relationships, HR Operations & engagement.

Ever wondered how a matriarch or the female-dominated world would look like? Well, growing up, I didn’t.
This decade, times seem to be changing, with us, women, successfully breaking the shackles of poverty, discrimination and biasedness. 

However, our objectification, body shaming, casual sexism, racism etc., still plague the society we all talk about making” safe” for us. Ironically, some of the decade-old, best Bollywood movies have brilliant(read: highly misogynist)dialogues. 

From late Sridevi to Kalki Koechlin, to Farhan Akhtar and Aamir Khan, today’s celebrities have begun questioning the patriarchal norms.  
The boss. The wife. The mother. The daughter. There’s hardly any role we haven’t played, hardly any battle we haven’t fought, any profession we’ve not been in. Still, especially in India, our leaving houses to pursue our dreams remains underappreciated.

We today do not want to snatch away the rights or roles of men, we want a middle ground: Equality.

Womenleaders  today, tomorrow

The most powerful women across the world: Jacinda Ardern, prime minister of New Zealand; Angela Merkel, chancellor of Germany; Damilola Odufuwa and Odunayo Eweniyi, women’s rights advocates, Nigeria; Kamala Harris, US vice president-elect, Sarah Gilbert, professor of vaccinology at University of Oxford and co-founder of Vaccitech, UK and many more, are our idols. They inspire us to grow, voice our opinions, and show how we can make an explosion even with a single match.

The Bright Side

Over the years, our political participation worldwide has continued to grow. 
As of July 2013, 35 countries, including nine in Africa, had national parliaments with at least 30% female representatives. 

Countries now comprise quotas to secure our political participation. Instances of women climbing up include –Hillary Clinton, Janet Yellen, Angela Merkel, Sheryl Sandberg and others — and on their terms, are increasingly more common.
Horrible statistics today about violence against us have a silver lining — that violence is being reported– contrary to centuries of hush and approval of the arm-twisting we’ve faced.

Women at work in 2021

Metoo and Time’s Up movements have strongly opposed misogyny and male chauvinism. 
We today are leaving no stone unturned to ascend the corporate ladder.
“You can find me somewhere in between inspiring others, working on myself, dodging negativity, and slaying my goals.” 
Nothing could have better condensed the lives of those employed amongst us than this Pinterest quote.

The persistent pandemic has compelled us all to reconsider working, thinking of downshifting, or quitting jobs altogether. Battling gender and racial discrimination for years, the locking down of schools and daycares has amplified the toils today.

Early AM, late or sleepless nights, cooking, retaining a healthful and active lifestyle, ensuring everyone at home has it easy, heeding work meetings – is our life in a nutshell.

The go-getter ones amongst us are trying their best to be hands-on mothers, mentors, and whatnot- being a jack of all trades and mastering them all with efficient time management.

Women in FinTech

FinTech undoubtedly seems to be a male-dominated industry. With only a small number of us working in FinTech with even fewer of us as Founders, we can say that we have an underrepresentation in this arena too.

We make up just 7% of the total pool in Fintech globally, which speaks volumes.
Louise Brett, Head of FinTech and Financial Services Innovation at Deloitte, believes that by identifying some necessary steps we can take to start levelling out these gender diversity issues, we can safeguard the fintech industry’s future. 

She adds in FemTech Partners: breaking down barriers, “we’re seeing some innovative solutions emerging already. One firm is offering double finder’s fees to employees that recommend successful female job candidates. 
Another is reviewing all its job descriptions to ensure the language appeals to female applicants.”

“We need to apply the same principles to solving this problem, as we do with our product: test and learn. The first step is to make a conscious effort to rebalance gender inequality in Fintech. Then we can start to identify what’s working.”
However, with women like Anna Maj – FinTech Leader at PwC and Senior Lecturer at CFTE, Cordelia Kafetz – Head of Fintech Hub at Bank of England Eva Wong – Co-founder and COO, Borrowell, and many more goddesses embodying strength and power, our future in  FinTech doesn’t seem very grim.Reflect and hear us.  
Listen to our struggles and dreams. 
Give us wings to fly, roots to grow, reasons to come back and watch us break free!

A Guide To Financial Wellness Program Key Performance Indicators (KPI)

Financial wellness programmes are gaining popularity these days as a key responsibility for employers and a necessity for employees. However, merely implementing a financial wellness program is hardly adequate in today’s times. It is also essential that the efficiency of such a program is routinely measured, with a review of several Key Performance Indicators from time to time. Else, it perhaps risks being relegated to the status of an enthusiastic fire drill we’ve all been part of at some point in our lives.
Without measuring the program’s outcomes, it is not possible to know if it helps in changing people’s attitudes and behaviours concerning money, in a way that produces lasting effects. Surely, if the program does not create lasting changes for employees, it isn’t just a waste of time and effort, but it’s eating into every other business metric – from the bottom line to even the intangibles such as brand reputation.

Let’s take a look at some of the basic key performance indicators or KPIs for financial wellness programmes:

1.   Participation Rates

Participation rates can be a wonderful KPI to judge the effectiveness of successful Financial Wellness programmes. Your enterprise can take into account the following numbers to judge your programme’s effectiveness. 

1)The Number of Employees Participating 

A good way to judge the effectiveness of a company’s financial wellness program is by keeping track of the number of people making use of the different services or participating in activities such as seminars, financial counselling, etc. 

2)Growth in the number of Users

This metric records the increase in the number of employees making use of the services on offer by your enterprise’s financial wellness programmes. This number could mean at least one of two things.
a.The program has provided successful results to your employees.  Only if the program is beneficial, your employees would recommend it to other colleagues 
b.Your enterprise is successful in communicating to the employees the benefits of the financial wellness program.

3)Rate of Return

This records the number of times employees came back to avail the services. This is also a good metric to judge a program’s effectiveness, but it depends on the program on effect.
For instance, a high rate of return to debt management seminars could mean that the seminar might not be adequate. On the other hand, return to a financial wellness partner for wealth generation points towards a positive impact.

4)The number of Courses, Seminars and Assessment Completed 

This determines the employees’ commitment level and interest in the program and an indicator of whether the employees find it useful.

5)Knowledge Gained: 

This compares the pre-program-implementation scores of employees’ financial awareness tests to the post-program-implementation score, to ascertain the level of educational seminars and workshops, etc have helped the employees.

2.   Employees’ Feedback Scores

The best way to ascertain the utility of any program or effort is to get feedback from the beneficiaries, in this case, the employees.

1)User Satisfaction Scores 

This score reflects the level of satisfaction the employees received from the implementation of the Financial wellness programmes. They measure the workforce’s response and give an idea to the employer how right or wrong they are going in the view of the employees.

2) Confidence Scores 

Through this users can be asked how comfortable they feel in their knowledge about certain topics before and after taking seminars or courses to assess if the programmes are working well and benefitting the employees.

3) Financial Stress Levels 

Financial stress can lead to a lot of different problems like anxiety, depression, productivity, etc. A good way to judge financial wellness programmes is by measuring how much they relieve employees of such debilitating stress.

3.  Employee benefits Utilisation 

Another good Key Performance Indicator to judge Financial Wellness programmes can be based on how aware they make employees, and how they induce them to make full use of the financial benefits offered by their organisation, like:

1) Retirement funds: 

This measures the number of employees who are investing their money in the company(or outside) retirement funds, which shows a level of awareness.

2) Loan Obtaining benefits: 

This measures the number of employees who take advantage of the loan-procuring help offered by their organisation.

3) Loan repayment perks: 

This keeps track of the number of employees who are aware enough to utilise organisational help, in whichever way offered, for the repayment of loans like personal loans.

Download the personal loan app here, or log in to our website and be a part of the #OneSmallStep experience.

How HR Can Help Millennial employees In Financial Planning

Financial stress is undoubtedly one of the most prevalent and widespread concerns among the working class, especially millennials who are inching closer to retirement every day and have not yet established or opened a retirement savings fund. 
Millennials are different from their predecessors in more ways than one- they have witnessed and pulled through two major recessions early in their careers, and the new pandemic fuelled recession is adding a new financial strain. This financial stress is amplified for millennials also because a majority of them face challenges such as student loan debt, high unemployment rates, and most recently, low financial literacy. 

A 2017 PWC Employee Financial Wellness Survey discovered that an astounding 65% of millennials reported being stressed and affected by the state of their finances. Approximately a third of the employees confessed to being distracted by personal financial issues at work, while a majority of them spent up to 3 hours a week handling these matters during work hours. 
Hence, it is no secret that financial stress can slowly trickle in and affect overall productivity in the workplace. Here’s how HR can help millennial employees in financial planning and ensure their overall well-being and better productivity at work!

  • Introducing financial literacy tools

One of the best ways HR can help millennials with financial planning and wellness is by introducing financial literacy tools and programs in the workplace as a means to teach and guide them. This is crucial as these financial literacy tools can help them understand their finances better, suggest a range of options for investing, and even get them out of a personal financial crisis. 
Educating employees about the foundations of personal finance, including sessions on how to build healthy financial habits and personal wealth, and making them aware of concepts such as quick instant loans and salary advance loans is one of the best ways to help millennials. This is because when employees have an accurate and good understanding of their finances and financial standing, they will make informed and better decisions to save and make the most of workplace resources to build a suitable retirement plan. 

  • Encouraging goal-based financial planning

Goal-based financial planning is another way HR can help their millennial employees plan their personal finances in a better and more efficient way. The goals should be prioritized and comprehensive workshops and programs that focus on how to go about goal-based financial planning are a must to help employees plan their finances better. 
A detailed financial plan will break down each goal into smaller, more concrete, and achievable milestones, and can help reduce the overwhelming burden of a personal financial crisis. 

  • Automated investing and smart budgeting

Automated investing and smart budgeting are associated with the actual execution of the financial plan drawn up by employees. This step matters the most, simply because the implementation is one of the most difficult steps when it comes to financial management. Digital tools can help in keeping them on track and accountable, by serving as constant reminders and acting as lucrative platforms for easier investing. 
Smart budgeting applications and platforms can help keep a track of the monthly expenditure and finances, while automated investing platforms can help in the automation of the transfer of a pre-decided amount from a checking account to a savings account. Hence, employees save time because the saving and investing bit is taken care of automatically. 

  • Introduction to quick personal loans and salary advance loans

Finally, it is imperative to educate millennial employees about the latest financial tools and services available at their disposal, such as quick personal loan and salary advance loans. This is important simply because sometimes even the HR isn’t fully aware of their personal financial situation, and a simple introduction to these quick personal loans or salary advance loans can help them directly or indirectly in more ways than one can imagine. 
HR leaders need to support and help their millennial employees in financial planning and must chalk our detailed, strategic, and comprehensive programs and workshops to ensure their financial wellness. Quick personal loans, salary advance loans, automated investing, and smart budgeting tools are some of the latest advancements that can help millennial employees plan their finances better, and help them when they’re in urgent need of financial assistance. The solution provided by HR should include modules and sessions for educating, planning, investing, carried out by financial experts and advisors to help them reach their goals. At Fibe, we’re helping to help with financial wellness solutions.

Get on the EarlySalary app, and explore more financial wellness ideas, credit, or personal loans to get instant cash for all your needs.

Download the personal loan app here, or log in to our website and be a part of the #OneSmallStep experience.

Be Happy instead of Rich!

How many times were you ready to compromise your free time for making more money? Prioritizing money might deliver that temporary pleasure of fortune, but in the long run, it might actually undermine your happiness. Of course, this doesn’t mean you have to deny the salary raise you have been offered or give away all your wealth. It is true that making more money could give you happiness, but the way you utilize it shapes the joy you get out of it. 

A recent survey on more than 500 people in the UK, showed that people with more money in their savings account were happier than those who saw depressingly low numbers every time they visited the bank. Some people might argue saying wealthier people are happier, forgetting the fact that with increased wealth, there is a surge in the lifestyle. With the surplus money, you end up buying more and more things, and to make space for these, you might end up buying a bigger house, and the list goes on. You might eventually reach a point where the ‘surplus’ money, which was giving you happiness, isn’t even surplus anymore, due to the change in lifestyle. 

In that case, the idea of saving cash could be intimidating. You might get anxious about cutting down on your expenses, creating a budget plan, and might even end up sacrificing on things. Always ask yourself:

  • Is what I buy essential for me?
  • If not, is the expense genuinely worth it and brings happiness?

By this method of approach, you can cut down on unnecessary expenses and manage to maintain your money. Especially if your answer to the second question is no, you need to sit back and take a break from those expenses, at least for a few weeks. By now, most of you all might have this question in your head. Afterall, what is the right way to spend money, and still be happy?

Spend on experiences

It is normal for us to spend money on things that aren’t necessary for our survival. But, is it good? Is it worth it? If you are spending money on experiences that are going to give you a lifetime of memories to cherish, then definitely yes! Buying materialistic things such as clothes, gadgets, etc., might give you satisfaction for a while, until they get worn out. Experiences on the other hand, even though might seem a little expensive, gives you life-long happiness, rather than just being satisfactory at the moment. With the help of EarlySalary, you don’t have to worry about the expenditure. You can now pay all your bills and cover all the last minute-payments with the help of EarlySalary’s products. You can get instant cash loans up to Rs 5,00,000 for a tenure of up to 24 months. It comes with zero prepayment charge and you will get your loan amount transferred directly to your bank account.

Invest in time

In your busy lives, you might find it hard to make time for your leisure or have fun with your closed ones. Apart from your job, smaller things such as running errands for the home, cooking, etc. could consume a lot of time of your day. Instead, you can make use of delivery services to get your food, groceries, and other supplies delivered. There is no doubt you would be spending a little more money than how much you would have spent if you had done it by yourself. At the end of the day, you will be successful in buying yourself some quality time, so why not?

Invest in others

You could use your extra money in gifting something to someone, helping out a stranger facing some trouble, or even donating it to a charity or NGO. Although spending money on yourself is more tempting, several studies have proven that you are more likely to not regret spending money on someone else. Even research shows that giving away a little might also boost your mood. This might not apply to everybody. This is something somebody should do out of interest, and not because of any external force. 

The Fulfillment Curve

Source: pinterest 

The figure shown above is called The Fulfillment Curve. It depicts the level of happiness that comes along with more and more money. The curve consists of four parts. Let us look at each one of them in brief.

  • Survival

This simply means, you barely have money to buy necessities and even a little amount of money is going to bring in a lot of happiness. You will be much happier just by availing your basic needs such as food, clothes, and shelter.

  • Comforts

Once you start making enough money for basic necessities, you will start investing money on your comforts such as sofas, bed, extra pillows, second or third pair of jeans, etc. These purchases too, bring you immense joy and happiness as you get the satisfaction of making more than necessities. This section of the curve is still considered to be positive, where money is still bringing you happiness. At this point, you will start towards becoming rich.

  • Luxuries

Eventually, your comfort expenditure starts to expand. From buying one chair, to two or three extra chairs, from a small house to a bigger one, and probably ten extra pairs of jeans. These aren’t comforts anymore, they are luxuries. They make you so happy, that you will end up wanting more and more, eventually pushing yourself to the peak.

  • Overconsumption

Now that you are rich and you have reached the peak, you will start buying unwanted things and invest your money that might hardly give you any happiness. You uncontrollably start spending on things that are going to be a burden for you. The money which was once enough to buy you comforts and even luxuries, and make you happy, will push you further and further towards stress, in order to earn more money. If this goes on, it will be a never ending cycle, and you will end up with zero happiness with all the money that you’ve earned.The best section of the fulfillment curve is either the comfort or the luxuries section where you know you have enough. It is extremely important to know that you have enough money that would be sufficient to bring in happiness.

When will you know you have enough money?

When your spending and your happiness is equally balanced, and when all your necessities are fulfilled, that is when you know you have enough money to be happy. It is better to have enough money, than to be rich, that would eventually push you towards an unhappy life. You will feel content when you have enough, which is not too little, or not too much.Well, there is no simple answer to what ‘enough’ is. It’s a fairly subjective concept, after all. It is upto your realization, when you reach the luxuries section in the fulfillment curve, that you have enough money.Take time to analyse your income, your expenditure and what your ideal ‘enough ’would be. Work towards it, and never, ever, push it further ‘enough’.

Get on the Fibe (Formerly EarlySalary) app, and explore more financial wellness ideas, credit, or personal loans to get instant cash for all your needs!

Download the instant loan app here, or simply log in to our website and be a part of the #OneSmallStep experience.