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Financial Literacy and Artificial Intelligence – A Psychologist’s Perspective

Claire by Claire
July 21, 2025
Reading Time: 4 mins read
Financial Literacy and Artificial Intelligence – A Psychologist’s Perspective
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You want to improve your financial literacy, learn how to plan your expenses, and place bets using a https://vave.com/ — read a psychologist’s opinion on financial planning.

Financial literacy is the ability to manage your money wisely. It includes budgeting, understanding where your salary goes, being able to save, and even resisting tempting discounts when they’re not necessary. Nowadays, this topic is widely discussed, especially in a world where prices keep rising and temptations are everywhere. And here to help us isn’t an accountant, but… artificial intelligence. Yes, that very same AI that writes texts, helps with studies, and can even draw. Now it’s ready to manage our finances too. But can we really trust it?

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How Can AI Help With Money?

Today, there are plenty of apps and bots powered by artificial intelligence that help people manage their finances. They can:

  • Automatically analyze expenses: For example, you spend money on taxis, coffee, and food delivery — AI sees that and honestly says: “You’re spending too much on this.”
  • Send payment reminders: Forgot to pay rent? Or the internet bill? AI will remind you.
  • Help plan a budget: Say you want to save up for a trip. AI can calculate how much you need to set aside each month based on your income and expenses.
  • Spot errors: Maybe you accidentally subscribed to a paid service and didn’t even notice — AI can detect that and suggest canceling it.

All of this is, of course, very convenient. Especially if you’re not a fan of dealing with spreadsheets, receipts, and calculations. It sounds like a dream! But it’s not that simple.

Should We Fully Rely on AI?

As psychologists say, technology is a tool — not a substitute for thinking. When we completely hand over our expense planning to a machine, our brain stops training. It’s like using a calculator all the time: if you rely on it too much, it becomes hard to calculate change in your head at the store. Financial literacy is a skill, and if you don’t practice it, it starts to “rust.”

Psychologists warn: becoming too dependent on AI can make us lazy when it comes to decision-making. We stop asking ourselves important questions: Do I really need this? Can I delay this purchase? What will happen if I spend this amount now? Instead, we wait for a robot to tell us what to do. But financial decisions are often tied to emotions — fears, desires, stress. And AI doesn’t always understand that.

Also, no matter how smart AI sounds, it’s still just a program. It can make mistakes. Especially if you don’t provide a full picture of your income and expenses. It doesn’t know you’ve planned a doctor’s visit, or that your loved one’s birthday is coming up. So relying on it 100% is risky.

What’s the Right Approach?

The best way is to use AI as an assistant, not as the boss. Think of it like a digital pen: you’re still writing, but it makes it easier. Here are a few tips:

  • Track your expenses yourself — at least sometimes. Use a notebook or a spreadsheet. It’s good for your brain.
  • Let AI analyze, but make your own conclusions. If the bot says you spend too much on food delivery, think about why you order it so often. Maybe you’re tired or short on time.
  • Have a “financial day” once a month. Review your budget, plans, and goals. Check if everything’s in order and if you’ve missed anything.
  • Talk about money. With friends, family, or your partner. These conversations also help you think and plan better.

In Conclusion

AI is a great tool. It can simplify life, help you remember important things, and even teach you to better understand your finances. But it should never replace your ability to think. Financial literacy is about awareness, seeing the big picture, and making decisions. And that’s what makes us human — not machines.

So go ahead and befriend AI, but don’t forget to use your head. Money loves to be counted — but even more, it loves common sense.

Claire

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