Financial literacy means understanding how money works and being able to make smart financial decisions. It involves knowing how to budget, save, and track expenses, as well as understanding concepts like interest rates, investments, and the difference between good and bad debt.
However, financial literacy skills aren’t taught in school. Your teachers probably didn’t tell you how to manage your credit card debt or calculate how much to save for retirement.
But with free online personal finance classes you now have a “financial mentor”.
This free course teaches you how to set clear financial goals and achieve them. It covers important topics like saving strategies, budgeting skills, investing, analyzing financial risk, and how you should handle credit.
The course has eight modules, which combine lectures and “video vignettes” which introduce a real-life scenario that requires a financial decision. The vignette prompts you to apply the concepts you learned and reflect on what you would do in a similar situation.
This teaching approach helps you learn how to make smart financial decisions and experience the benefits of financial literacy.
If you think financial literacy is a boring topic, then try taking this class. It uses animated videos and takes a very practical approach to money management.
The modules tackle common “adulting challenges” like handling your bank accounts, credit cards, taxes, and investments. It even explains what to consider when you’re buying a new car or insurance policy or renting an apartment.
The class also addresses issues like credit card fraud, lowering debt, and how money affects marriage and personal relationships.
No time for a long financial literacy program? This Skillshare class is just 24 minutes long and is designed to help you create a budget, step by step.
Each lesson (which is less than two minutes long) explains one step. While it doesn’t discuss the topics in-depth, you get clear action points that will immediately improve your budgeting skills.
This is one of the most popular financial literacy courses on Coursera, with over 1,500 reviews and a 4.6-star rating. This comprehensive course is valuable for both individuals and families.
It provides the foundational knowledge you need to make sound financial decisions, whether your goal is saving for a child's education or securing a comfortable retirement. From budgeting skills, learning how to build good credit, and the basics of investment and tax planning — it’s got it all covered.
This thorough course goes beyond basic budgeting skills. Professors from Indiana University teach you how to make long-term financial plans and build your net worth.
You’ll learn how to classify assets and liabilities, prepare financial statements, and understand rates of return and opportunity cost. You will also learn strategies for saving and investing in a low interest rate environment.
It’s a good course to take if you are thinking of investing or want a clear system for managing multiple cash flows (i.e, money from your salary, stocks and bonds, and insurance policies).
6. Housing, Khan Academy
Are you planning to buy a home or invest in property to create rental income? This course explains mortgages, housing loans, and important real estate terms like home equity.
If you are buying property for the first time, the course also provides a step-by-step guide to the buying process, applying for a home loan, and choosing home insurance.
Credit cards and bank loans can help you pay for large purchases or tide you through a financial emergency. However, it’s important to manage your debt so it doesn’t affect your personal finances or your credit score.
The course teaches you how to pay off debt, from knowing which debts to prioritize to practical budgeting skills so you can allot more of your income to loan payments.
Investing is a powerful tool for growing your wealth because your money generates returns over time.
This free online course by Khan Academy explains investment vehicles such as life insurance and mutual funds. It is part of a comprehensive financial literacy program on Finance and Capital Markets. You can also check out other courses on stocks and bonds, futures and banking.
While you do need to buy this course, you will get three courses for the price of one.
The first course goes beyond budgeting skills and gives concrete ways you can save on groceries, food, health and education expenses.
The second course dives into the different kinds of investment instruments: stocks, bonds, commodities, real estate and more.
The third course talks about different kinds of insurance plans and savings plans, and how these can help you prepare for retirement.
Get a Personal Financial Consultation
Free online courses can help you understand financial concepts and improve your budgeting skills, but they can’t tailor recommendations to your personal needs and financial situation. And since these courses are made for a global or US audience, their tips may not always reflect the unique features of the Philippine market.
So, if you’re thinking about saving and investing, consider consulting with a BPI AIA Bancassurance representative. Tell us about your financial goals and learn about your different insurance and investment options.
Schedule an appointment with our Bancassurance Sales Executives and find out how you can protect your finances and your future.
