OJK Reminds Gen Z to Care About Financial Planning

Photo: Doc. Antara

JAKARTA - The Financial Services Authority (OJK) reminded Generation Z about financial planning with the main goal of providing education on financial literacy, investment planning, and awareness of illegal financial activities.

Financial Advisor Community OJK Viko Hadian, in Jakarta, Tuesday, October 22, said that this financial literacy education was carried out so that Generation Z has a good understanding of financial products and services.

"In addition, it can protect themselves from the rampant various frauds under the guise of investment and illegal financial activities in the digital era," he said, as reported by Antara.

He said there are several things that need to be considered to regulate financial planning, including reducing debt, preserving wealth, developing wealth by investing, maintaining the security of wealth, and managing finances well.

"To maintain this, Generation Z needs to know about financial literacy, so that they can understand and manage personal finances effectively. Such as the habit of saving, investing, managing finances and debt, and planning finances for the future," he said.

He also touched on three phenomena among Generation Z that have a negative impact when using digital financial services. The three are you only live once (Yolo), fear of missing out (Fomo), and fear of other people's opinion (Fopo).

"In addition to understanding the risks, friends must also understand their own financial needs. Don't follow styles and trends that get a little money and immediately use it for shopping to follow the trend," he also said.

In addition, the Fomo phenomenon is also common among Generation Z. Fear of missing out on something, such as the decision of young people to use digital financial services just to follow the trend without understanding and managing personal finances effectively.

"And alluding to the Fopo phenomenon which refers to the decision of young people to try digital financial services, because they are afraid of being criticized by others without knowing whether the service has an official permit or not," he said.

His party also reminded Generation Z to continue to understand the mode of offering digital financial services. He advised to always be careful and not easily believe the various offers circulating by ensuring that the service has official permission from authorities such as the OJK.