In uncertain times such as these when the world is grappling under the COVID-19 pandemic, many of us are falling for the equated monthly installment (EMI) trap to buy things that we want and even at times, what we don’t want.
The main reason for this is that due to the COVID pandemic, several businesses have suffered huge losses and the biggest brunt was borne by the salaried class. With job losses and pay-cuts, taking a loan or opting for an EMI is certainly not a good option.
A penny saved is a penny earned and in tough times, we should follow this golden rule and only spend on things we really need. EMI and loans could turn into liabilities if these are not repaid in time.
With the second wave of the COVID-19 pandemic and the various restrictions in place, it is wise to save money for the uncertain future. In the worst-case scenario or in the eventuality of a COVID-induced lockdown, individuals should ensure that they have adequate liquid funds to support living expenses and medical costs for a period of at least six months.
In the meantime, the number of new coronavirus cases in India hit a record daily high since the outbreak of the pandemic with over 1.15 lakh new infections being reported in a span of 24 hours, pushing the nationwide COVID-19 tally to 1,28,01,785, according to the Union Health Ministry data updated on Wednesday. The single-day rise in coronavirus cases breached the 1-lakh mark for the second time in three days.