Recession Has Brazilians Looking For Classes On How To Save

08/14/2018 - 14h53

Jhonatas Montans, 21, has a steady job in retail, but since entering the job market, he has lived from paycheck to paycheck.

Brazil's recession and fear of unemployment made the young man look for help to start a savings account.

"My girlfriend took classes on how to spend less than she earns and encouraged me to do the same", Montans said.

	Rubens Cavallari/Folhapress
	Jhonata Montans and his girlfriend Ana Carolina Ferreira

Now they have a joint savings account and save money for emergencies and also to have their wedding. "We want to travel for our honeymoon, but it would be impossible if I hadn't looked for help", he said.

Saving money was never a Brazilian habit. Recent data from Brazil's credit protection service (SPC Brasil) and the national retailers association (CNDL) show that in May, only 16% of the population saved some money.

Savings accounts are still the most popular investment in the country, used by 60% of investors.

"These times of instability make saving money a hard thing to do. And whoever manages to set some money aside chooses the savings account," said Flávio Borges, SPC Brasil's superintendent.

Sandro Mattos from DSOP, an organization that promotes financial education, immediacy is one of the reasons that people have trouble saving money. "Beyond the recession and high unemployment, people tend to focus on immediate desires and make wrong choices", he said.

On the other had, financial information is also in high demand, boosted by schools that have finance in their curriculum.

Translated by NATASHA MADOV

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