Financial management and debt reduction are increasingly common topics in IELTS Writing Task 2, appearing in approximately 15% of recent exam questions. This trend reflects growing global concerns about personal finance and economic stability. Understanding why financial planning is crucial for long-term success has become essential for IELTS candidates.
Smart Financial Planning Concept Illustration
Let’s examine a recent IELTS question that exemplifies this theme:
Many people are accumulating high levels of personal debt. What are the main reasons for this problem and what measures can be taken to tackle it?
Analysis of the Question
This question contains two parts:
- Reasons for high personal debt
- Solutions to address the debt problem
The task requires a balanced discussion of both causes and solutions, with specific examples and well-developed arguments.
Sample Essay 1 (Band 8.5)
The rising tide of personal debt has become a significant concern in many societies today. This essay will explore the primary factors contributing to this issue and suggest effective measures to address it.
The main reasons for mounting personal debt are both societal and individual. Firstly, the prevalence of easy credit and aggressive marketing by financial institutions has created a culture of immediate gratification through borrowing. Additionally, the impact of inflation on personal savings has forced many individuals to rely on credit cards and loans for basic expenses. Furthermore, inadequate financial education leaves many people ill-equipped to manage their finances effectively.
To tackle this growing problem, several measures can be implemented. The most crucial step is improving financial literacy through educational programs in schools and workplaces. How high inflation affects corporate profits demonstrates why understanding economic principles is vital for personal finance management. Moreover, governments should strengthen regulations on lending practices and implement stricter oversight of financial institutions. On an individual level, people should develop comprehensive budgeting plans and prioritize the importance of reducing debt before investing.
In conclusion, while the causes of personal debt are complex, a combination of better education, stronger regulation, and individual responsibility can effectively address this issue.
Sample Essay 2 (Band 6.5)
These days, many people have lots of debt. There are several reasons for this problem and some ways to solve it.
The main reason why people get into debt is because it’s very easy to borrow money. Banks give credit cards to almost everyone, and people can buy things even when they don’t have money. Also, many people don’t know how to manage their money properly because they never learned about it in school.
To solve this problem, I think we need to do several things. First, schools should teach students about money management. Best savings strategies during high inflation should be part of basic education. Second, banks should be more careful about giving loans. Finally, people need to make better plans for their spending and try to save more money.
In conclusion, debt is a big problem but it can be solved if everyone works together to make changes.
Analysis of Band Scores
Band 8.5 Essay Analysis
- Sophisticated vocabulary and complex structures
- Clear organization with cohesive devices
- Well-developed arguments with relevant examples
- Precise language use and academic tone
Band 6.5 Essay Analysis
- Basic vocabulary with some attempts at complex structures
- Simple but clear organization
- Limited development of ideas
- Some repetition and informal expressions
Key Vocabulary to Remember
- Accumulate (v) /əˈkjuːmjʊleɪt/ – to gradually get more and more of something over time
- Gratification (n) /ˌɡrætɪfɪˈkeɪʃən/ – pleasure or satisfaction
- Comprehensive (adj) /ˌkɒmprɪˈhensɪv/ – complete; including everything necessary
- Implementation (n) /ˌɪmplɪmenˈteɪʃən/ – the process of putting a plan into action
- Oversight (n) /ˈəʊvəsaɪt/ – the job of checking that something is done correctly
Future practice prompts might include:
- Discuss the relationship between personal debt and mental health
- Examine the role of technology in financial planning
- Evaluate the effectiveness of different debt reduction strategies
Share your practice essays in the comments section for feedback and discussion.
