• On 6 September UOKiK President launched a new national campaign called “Calculate and don’t miscalculate!".
• As part of the campaign, UOKiK President, Mr Tomasz Chróstny, warns citizens against the risk of losing their savings and urges them to make prudent investment and financial decisions.
• Calculate and don’t miscalculate! - before you decide!

All investments carry risk. The higher the profit margins expected and the less informed your decision making, the higher the risk. To draw society's attention to this issue and increase awareness about it, the President of UOKiK, Tomasz Chróstny, has initiated a campaign called “Calculate and don’t miscalculate!", which commenced on 6 September. In it, UOKiK warns prospective investors against losing their savings and encourages them to make sound financial decisions.

"The current social and economic situation makes consumers more willing to increase their investment activity. Low interest rates encourage people to buy real property on credit, as well as to put money in stocks, corporate bonds, mutual funds and high-risk investments like cryptocurrencies. Such financial and investment decisions are accompanied by very real risks that consumers can often forget about, particularly when they are tempted by supposedly lucrative offers. Hence the campaign slogan – “Calculate and don’t miscalculate!" Always make sure to analyse the risks and take both the changing conditions and your financial position into account before you invest your savings or make long-term financial commitments. Analyse all the costs; consider interest rate increases and various other scenarios that could lead to a decrease in the value of your capital investment. Then ask yourself the following: How much can I lose and will I be able to stay solvent and still pay my credit instalments in a few years?", UOKiK President Tomasz Chróstny explained.

Video spots advertising UOKiK President's "Count it right!" campaign warn consumers against the genuine risk of loss of invested funds and draw their attention to the potential inability to repay the credit in case of an interest rate increase, as well as the possible reduction in the value of real estate used as credit collateral.

Investing

Changes in the inflation rate, as well as low interest rates on deposits, may prompt consumers to seek higher-interest forms of earning and saving, such as the stock market, mutual funds, corporate bonds and cryptocurrency. Before investing any money, consumers should count how much they spend on their day-to-day consumption and determine the capital they can afford to allocate to investing activity. Risk assessment and diversification of tools used to multiply one's savings is by no means less vital. "The most crucial thing is remaining vigilant when choosing what to invest in. Today, many entrepreneurs are trying to convince consumers that only by working with them will the consumers be able to make a good return on their investment. We warn consumers against making rash decisions. Any investment that you make today, particularly one that promises an attractive return with supposedly low risk, may bring a material loss tomorrow. It is worth meticulously calculating whether you can handle the loss of savings or a temporary decrease in their value", said UOKiK President Tomasz Chróstny.

Real property purchase

Consumers' concerns about the decline in the value of their savings, as well as low interest rates on loans, may encourage them to invest in real property. UOKiK President also notes that such investments may carry significant risk to consumer interests. "When thinking about buying a property on credit, consumers must remember that property prices may fall, and interest rates may rise in the future. As a result, your loan payments will be much higher while the value of the property used as the collateral may be significantly lower. In such cases, it is worth paying attention to the provisions of the credit agreement, which specify the actions that may be taken by the bank crediting the real property purchase", UOKiK President Tomasz Chróstny remarked.

Therefore, when choosing to invest in real property, you should carefully examine not only the investment offer itself but also your financial position and future possibilities in the next several years.

Before you decide, calculate and don’t miscalculate!

• Never make rash decisions and never act on emotions – carefully analyse all potential profits and risks.
• Do not opt for investments when you are in debt. If you have any excess money, repaying your financial obligations early may be a better choice.
• Invest wisely based on your financial possibilities, using only surplus money you can afford to lose and not the money you need to secure your livelihood.
• Not only should you analyse the current situation, but you should also plan for the future, particularly to account for possible issues that may result in reduced income.
• Diversify your finances – avoid investing everything in a single property or business; always keep in mind the need to stay solvent.
• Remember – it is you who manages your finances and you alone who will bear all the consequences of ill-considered decisions – never make quick, rash decisions due to concerns about "missing out" on opportunities.

About UOKiK President's campaign

Information and education activities contribute to consumer safety and awareness. As part of the "Calculate and don’t miscalculate!" awareness campaign, UOKiK prepared two 30-second advertising spots for broadcast on TV, radio and the Internet. Since 6 September, the spots are being aired by public media under Art. 31 c of the Act on competition and consumer protection, as well as by commercial broadcasters that have agreed to support the campaign on non-commercial terms (free of charge).

 "I encourage media, institutions and NGOs to join the campaign. Supporting it will help us reach a wide audience and improve consumer safety in the process", said UOKiK President Tomasz Chróstny.

The "Calculate and don’t miscalculate!" campaign video spots and other downloadable content is available on the UOKiK website.

Additional information for the media:

UOKiK Press Office
Pl. Powstańców Warszawy 1, 00-950 Warszawa, Poland
Phone +48 695 902 088, +48 22 55 60 246
E-mail: [SCODE]Yml1cm9wcmFzb3dlQHVva2lrLmdvdi5wbA==[ECODE]
Twitter: @UOKiKgovPL