Advice on possible price rises and economic slowdown

according to el National Administrative Department of Statistics (DANE) in the Consumer Price Index (CPI) report of the month of June 2023, it is evident that, although at a slow pace, inflation continues to subside.

This is good news, however it is still important that Colombian households create financial habits that allow them to prepare for possible risks or situations such as the uncontrolled increase in inflation.

(See: How to find out if you have a credit balance on your income statement).

In this sense, the personal finance expert, Luigi Estupiñan, from Resolve tu Deuda, a Fintech credit repair company, offers the following tips to avoid impacts on your pocket:

1. Create a budget: You must consider the first expenses (food, housing, education, transportation, health) and second needs (tastes, clothing, leisure, ant expenses), in this way you can allocate the appropriate amount of money to each one.

(See: Dollar falls below $4,000 ahead of schedule).

At this point it is important that you follow up on what you raised, that is, if you really have enough money for certain activities, if you are spending others, etc.

2. Evaluate the situation of the environment to determine if it is necessary to make adjustments in each item: For example, if food goes up in price, you have to check what is being bought, where, at what price, where it could be obtained cheaper.

(See: Winners and losers with the drop in the dollar in Colombia).

3. In case of high inflation, look for savings or investment products that generate higher than normal returns, but verify that it is not a scam, but legal and authorized entities.

4. Even if interest rates drop, be careful with the use of credit cards and loans. Always compare the offers that banks make and choose the one that offers you at least the lowest rates.

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