Nedbank is leading the conversation by encouraging and providing tools that help consumers improve their money management to make better money choices in 2022 and beyond. Bank’s Better Money Choices in 2022 and beyond.
According to the TransUnion 2021 Q4 Consumer Pulse South Africa Report, 55% of households report that their income has been negatively impacted by the Covid-19 pandemic, down from 62% in Q1 of the same year. Of all those measured, 34% said someone in their household had lost their job, while 32% indicated that someone in the home had their salary reduced. A total of 28% had work hours cut recently. While 79% considered access to credit important, only 34% believed they had sufficient access to credit.
In the first quarter of 2022, as South Africa’s unemployment rate remains at its highest levels to date, Nedbank is rolling out an array of products, technologies and educational resources to help consumers make better money choices for sustainable long-term financial well-being.
‘As a financial services provider that strives to do good in society, we want to truly empower households to make better money choices such as better spending decisions, increased savings and investment, and sustainable borrowing choices’, says Buli Ndlovu, Executive Head of Retail and Business Banking at Nedbank. ‘Small changes in day-to-day money choices using easy-to-access and understandable digital tools can make a big difference in our lives.’
In its national integrated campaign across various broadcasting and digital platforms, Nedbank invited consumers of all backgrounds to share their real-life stories and insights into how to make better money choices. In a recently launched competition, entrants are offered the opportunity to win up to R10 000 by simply sharing ways to avoid spending recklessly. In just its first week, Nedbank has already reached almost 500 000 people, with more than 20 000 engaging across a variety of social media platforms.
In a flood of responses, South Africans shared their wisdom and insights, offering ways in which they had made better money choices, or how they hope to do so in the future.
For instance, social media respondent, Sima Kaleni, reflected some of her regrets in spending and how she could have used it better. ‘The most expensive purchase I made was buying a set of hair (weaves) online,’ she says. ‘The payment was successful, but the seller blocked me after I had sent proof of payment. Sometimes I just cry thinking what I could have done with that R5 000, and I have learned to take my money much more seriously ever since.’
Nokuthula Ndlovu, another respondent, said that after having bought a smartwatch, she realised that she should have planned her purchase better. ‘I now know that I could have drawn up a budget first and bought a cheaper watch with similar or even better features,’ she says.
People shared a host of expensive and excessive spending decisions, from high-end televisions and expensive appliances to cars. They went further to guide others not to make the same decisions, encouraging better saving, planning and modesty when spending, focusing on necessity rather than extravagance.
‘The response has been very encouraging. It is exciting to see so many people excited to make better money choices to manage their money better. We’re delighted to be part of the conversation and look forward to helping consumers who want to improve their overall financial well-being,’ says Ndlovu.
