Complex financial jargon is preventing many South Africans from making informed money decisions. Experts say using plain language can improve financial literacy, strengthen financial inclusion and help consumers better understand insurance, investments and other financial products.
In the financial services industry, language is more than just a tool for communication, it is a gatekeeper.
For many consumers, especially in the South African market where financial inclusion remains a critical challenge, the biggest barrier is not only access to products but understanding them. Policies, investment documents and adviser conversations are often filled with technical terminology that feels foreign, intimidating and, at times, exclusionary.
The result? People disengage or worse, they make decisions they do not fully understand.
Financial services have evolved in complexity; driven by regulation, risk modelling, product innovation and evolving technology such as the use of artificial intelligence. While this precision serves a purpose of introducing higher levels of accuracy and simplification, it has also created an unintended complexity to the client resulting in a consequence of a language gap between the industry and the everyday person.
