Page 28 - Apprenticeship book.cdr

B) Skills and competencies

By creating a list of expenses, you will learn what your true costs of
living are like and get a possibility to maintain control of your own finances. It
will also help you to assess the financial background, i.e. how much money is
left once the most important liabilities have been paid. You will be able to verify
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whether you can afford the next expense without worrying where to get the
money from to survive till the end of the month.
Make a list of irregular expenses, the ones which are incurred once or
a few times a year: occasional events (birthdays, name days), holidays, car
service/repair, holiday travels, renovations and others. While looking at your
financial condition, decide what amount of money you must put aside in order
to set up your own fund of irregular expenses. This amount can be assigned to
the fixed expenses. Thanks to this kind of a solution you will create “financial
backing” which will ensure your financial security for the so called “rainy day”.
Create a personal saving scheme. Social and discretionary bonuses or
other funds obtained from the employer under supplementary remuneration can
be used for a clearly defined alternative goal, e.g. buying a new TV set. Thanks
to this you will make your objective clear and create a plan of your saving,
putting aside, e.g. the funds from the received bonus, which will allow you to,
within a few months/years, realize your dreams without bearing losses and
running into debts.
Don't run into debts²⁰
Do not take credits, loans and payday loans

• If you intend to use them it is worth taking credits or loans provided
by banks, not the so called “shadow banks” or the “payday loans”. The
services offered by these entities are much more expensive to pay off
than the credits or loans obtained at the bank.
• The best option, however, is to avoid making commitments which
will burden our household budget every month, especially in the
situation when one has no steady job and stable financial position.
• Should anything happen which will make paying off the debts
impossible, we may become subject to criminal liability.

PART 1ART 1 Do not make additional commitments if you already have loans
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• Having taken a credit/loan we may be unable to pay off the new
debt which might result in a criminal liability.
B) Skills and competencies
• When the borrower now of incurring liabilities at the bank already
knows that he is unable to comply with the contractual obligations
(will be unable to pay off the credit/loan), he will be subject to liability
under the criminal law.
• Should we stop paying off the loan instalments due to the
circumstances that took place after the conclusion of the credit/loan
agreement (e.g. loss of the job, illness, other random events), then the
borrower does not become subject to criminal prosecution.
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²⁰IN FOR EX, Erasmus+ Program
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