A lot of progress has been made to achieve universal literacy in India. However, financial literacy is a different ball game altogether. It is what helps us in managing our finances better. Just as quiz shows test our literacy, a financial literacy quiz can test our acumen on financial matters.

As finances move from cash to more sophisticated modes like cards and wallets, it is highly recommended that we read personal finance-related information and take financial literacy quizzes from time to time. With financial literacy, we can use our money more efficiently. Credit cards are a popular mode of payment. Our awareness of all matters related to it can help us use credit cards to our advantage.

What is financial literacy?
 

You can consider yourself financially literate if you can manage your personal finances efficiently, plan and adhere to your budget, and design and follow saving and investment plans. As a financially literate person, you can be smarter in your handling of money.

Why is financial literacy important?
 

If you want to get your money’s worth, you must know how to gain financial knowledge. This way, you can set practical financial goals, spend money prudently, and put your savings to use more efficiently. Take the example of credit card management and how financial literacy helps in it –

• Making informed decisions -

A credit card is a financial product, offered by dozens of banks, and across many variants. A financially literate person would cross-refer his spending habits with the card features, have a look at the Annual Percentage Rate (APR), check the interest rate, credit limit and so on.

• Managing debts –

Being a mode of convenient borrowing, credit card debts can become a burden if not managed properly. With financial literacy, credit card debt management becomes easier.

• Smart use of financial products-

The knowledge of credit card features can be a part of any financial literacy quiz. It is a labyrinth of information, from reward points to interest rates, from special privileges to fuel surcharge waivers. With financial literacy, you can make the most of credit card features.

How to improve financial literacy?

Financial literacy can be obtained with regular study, be it through a consultant or by reading studies and writings on the subject. But to assess your financial literacy skills, nothing works better than a financial literacy quiz.

Staying on the topic of credit card management, here’s a financial literacy quiz for a quick assessment –

Stay quizzical

With your knowledge of credit card management refreshed, keep an eye on new financial literacy quizzes that enlighten you about credit cards and other financial instruments. Taking a financial literacy quiz and reading more about financial topics will keep you sharp and smart.

To make the most of your credit cards, use one of the IDFC FIRST Bank Credit Cards. Enjoy outstanding features and hone your credit card management skills with the IDFC FIRST Bank Credit Card.