Clean credit records crucial for students
Start Smart students summit hosted at the University of Zululand to prevent blacklisted graduates.
MOST graduates leave their academic life and plunge into the working world with a mountain of debt holding them back, which often has a negative impact on their career and potential wealth.
In hopes of curbing poor credit records among graduates, KZN finance MEC Belinda Scott, in partnership with the KZN Financial Literacy Association, hosted the ‘Start Smart Student Summit’ at the University of Zululand (Unizulu) recently to impart knowledge on how to avoid bad credit and blacklisting.
More than 500 government bursary holders attended the one-day summit at the KwaDlangezwa campus to highlight the personal challenge the burden of debt poses to a generation of young adults.
‘Being blacklisted makes it difficult to qualify for any type of credit, loan or investment such as property or a car. And if the bank does grant you a loan, the interest or deposit is much higher.’ said Provincial Treasury official Muzi Kubheka.
‘Financial institutions and government will not recruit you for a position that requires trust and honesty or entails handling finances if you don’t have a clean credit report, because they need to protect themselves and their clients. When one is in financial trouble, it becomes very tempting to put your fingers in the till,’ he said.
Representing the Office of the Credit Ombudsman, Siyabonga Makhathini shared examples of unfair and wrong credit listings, as well as how paying accounts a day late could affect one’s credit record.
Financial Services Board member Ginger Bester gave an informative presentation titled ‘Wanna get rich? Here’s how you do it!’, which pointed out principles of living below one’s means, saving and investing money.
