What is Borrowing?

Borrowing is taking money from someone else with the intention of returning it.

We all have short-term goals that might seem out of reach with our monthly salary.

Imagine a situation where – your phone has stopped working and you can’t wait till the month’s end for replacement.

Or, you have to make a necessary purchase for your children, like medicines, or a mobile phone for attending school lectures during lockdown.

Have you ever been in a situation where you had to either-

Buy medicine for someone ill in the family
Visit hometown for urgent work.
Attend an important family event
Manage death or disaster

What did you do? Did you borrow?

What do people borrow for?

These are some of the common cases for borrowing money and people borrow to resolve an urgent need:

Quick tip

There needs to be a reason for borrowing money

Quick Tip

Borrowing can help you manage situations like an urgent need for paying medical bills , short-term needs, financial emergencies, or starting up your business

To track your progress