2 weeks ago

SEBI Financial Health Quiz Reviews Insurance, Savings, Debt

How is your financial health? Answer a few simple questions to find out where you stand in investment, insurance, loans · livemint.com

SEBI has a quiz that helps people check whether their finances are healthy.

It asks about insurance, savings, loans, spending and retirement.

If someone depends on your income, the quiz suggests having enough life insurance.

It also recommends personal health insurance, even if you have cover through work.

The quiz says you should keep money aside for emergencies.

This emergency fund should usually cover at least six months of expenses.

It warns that unpaid credit card bills can become very expensive.

It also encourages budgeting, limiting debt and investing for retirement.

Answering honestly can show which parts of your financial plan need improvement.

Key facts

Life insurance: For people with dependents, the quiz checks for cover worth 15–20 times annual income.
Health insurance: The suggested minimum is ₹5 lakh or half of annual income, whichever is higher.
Emergency savings: Build accessible savings covering at least six months of expenses; those managing only small emergencies may target six to 12 months.
Credit card interest: Outstanding balances may attract annual interest of around 40%, depending on the card’s terms.
Unsecured loans: The quiz recommends clearing personal or unsecured loans quickly because their interest rates are high.
Debt limit: If EMIs exceed 40% of monthly take-home pay, the quiz suggests reducing debt and considering refinancing.
Retirement planning: People are encouraged to use SEBI’s financial goal planner and invest systematically toward retirement.

livemint.com · 2 weeks ago