Financial illiteracy can have severe consequences, leading people into harmful habits such as excessive drinking and substance abuse. It all starts with a flashy lifestyle—getting drawn to expensive bags, clothing, and luxury items. But things take a dangerous turn when people fail to consider whether they truly need these products or if they can afford the long-term costs associated with them.
There is a saying in my house: Whenever you want to make a purchase, there are only two ways to decide—by listening to your heart or your brain. Before buying anything, you should ask yourself:
- Do I really need this product?
- Can I afford the financial burden it will bring after the purchase?
The Cost of Impulsive Spending
Teenagers and young adults often dream of owning luxury items, such as German cars. While some manage to buy them, many lose them quickly because they fail to plan financially. I have seen people who own expensive cars but have taken out massive loans to afford them. They become trapped in a cycle of debt, which is incredibly difficult to escape.
Once someone is caught in this trap, they are forced to work under extreme pressure—taking double shifts, working beyond their limits, and even driving bike taxis after their primary jobs just to pay off their debts.
The Vicious Cycle of Stress and Addiction
With growing financial stress, people turn to alcohol and other substances to escape their pain. They come home exhausted, use alcohol to forget their struggles, and wake up the next day to repeat the cycle. Over time, this negatively impacts their health, relationships, and overall personal growth.
Breaking Free: The Importance of Financial Education
Financial literacy is the key to avoiding this downward spiral. Understanding budgeting, saving, and responsible spending can prevent people from making poor financial decisions that lead to stress, addiction, and an unhealthy lifestyle.
Final Thought
Money should work for you, not control you. Making informed financial decisions today will help you build a stable future without unnecessary struggles.
