27/08/2026
๐๐๐๐๐๐ ๐๐ ๐๐๐ ๐๐ ๐๐๐๐๐: ๐๐๐๐๐๐ ๐๐ ๐๐๐๐๐ ๐๐๐๐๐๐
For many people, the word credit immediately brings to mind a debt, monthly repayments, interest and financial pressure. We are often told that the best way to stay financially safe is to avoid borrowing. ๐๐๐ ๐ถ๐ ๐ฏ๐ผ๐ฟ๐ฟ๐ผ๐๐ถ๐ป๐ด ๐ฟ๐ฒ๐ฎ๐น๐น๐ ๐๐ต๐ฒ ๐ฒ๐ป๐ฒ๐บ๐? ๐ง๐ต๐ฒ ๐ฎ๐ป๐๐๐ฒ๐ฟ ๐ถ๐ ๐ป๐ผ.
When used responsibly and for the right purpose, Credit can be a powerful financial tool. It can help an individual acquire an asset, grow a business, invest in an income-generating opportunity or meet an important need when available cash is not sufficient. The problem is not credit itself, the real risk lies in borrowing without a clear purpose, without understanding the cost and without a realistic plan for repayment.
๐๐ฟ๐ฒ๐ฑ๐ถ๐ ๐ถ๐ ๐ฎ ๐ณ๐ถ๐ป๐ฎ๐ป๐ฐ๐ถ๐ฎ๐น ๐๐ผ๐ผ๐น, ๐ป๐ผ๐ ๐ณ๐ฟ๐ฒ๐ฒ ๐บ๐ผ๐ป๐ฒ๐
When a bank provides credit, it is essentially giving you access to money today on the understanding that you will repay it over an agreed period, together with the applicable cost of borrowing. This means every loan should answer three basic questions:
โ
Why am I borrowing?
โ
How will this borrowing benefit me?
โ
How will I repay it?
If you cannot answer these questions clearly, borrowing may not be the right financial decision. Responsible borrowing begins with understanding that a loan is not additional income. It is an obligation that must eventually be repaid.
Discover the full insights from Barnabas Ntezi, Chief Credit Officer, UBA Uganda. Read the complete article via the link below.
๐ https://www.ubauganda.com/2026/08/27/credit-is-not-an-enemy/
