For budgeting, it can be practical to keep a portion of planned weekly expenses on a bank card. This approach serves as a straightforward way to carry cash reserves in a digital form, offering quick access and simplicity for daily transactions. Yet, it is important to avoid leaving the entire savings balance tied up on the card. A financial strategy that many experts recommend involves reserving an amount on the card that covers the week’s anticipated spending, while exploring separate places to park other funds. This balanced approach helps keep money ready for immediate needs without risking overspending or giving in to impulsive buys. This perspective comes from Olga Daineko, a Financial Literacy Center analyst associated with the ministry of finance, who suggests treating card funds as one piece of a broader savings plan rather than the entire nest egg.
She notes that there is real convenience in having money on a card. It makes transactions faster, supports better budgeting, and can be managed with ease. However, a sole reliance on card balances can lead to complacency and inflated daily spending. The recommended practice is to allocate the weekly amount for routine expenses on the card, while guiding additional money into other forms of savings on a separate schedule, ideally aligned with paydays or moments when spending plans are reviewed. This habit reduces the risk of emotional purchases and promotes a disciplined approach to saving. In this framework, there is value in maintaining multiple savings channels, including keeping a portion of funds in a traditional savings account or other low-risk instruments, so the overall financial cushion remains intact and accessible when needed.
From her viewpoint, overlooking the growth potential of balances held on a card, especially when interest accrues slowly or not at all on that balance, can be a missed opportunity. By shifting a portion of card funds into a savings account, individuals can earn passive income over time and gradually accumulate wealth. This strategy acknowledges the different roles that various types of accounts play in a complete financial plan: the card for everyday liquidity and the savings vehicle for growth and stability. The aim is to balance liquidity with the opportunity to earn modest returns, creating a resilient money routine that supports long-term goals without hampering everyday convenience.
In late autumn communications from the Ministry of Finance’s Financial Literacy Center, the emphasis remains clear: protecting money against depreciation is a practical objective that can be supported by placing funds in banks and choosing reliable deposit options. Real estate, traditionally viewed as a slower but steadier investment, is often cited as a lower-risk choice suitable for diversification, alongside more liquid instruments. The core idea is to build a layered savings strategy where short-term accessibility does not come at the expense of long-term security. By combining careful card management, deliberate saving in separate accounts, and prudent investment choices, individuals can create a steadier financial path that stands up to market fluctuations and helps preserve purchasing power over time.