We all know there are areas where we could do better with our money but at times we don’t know where to begin. As a result of not knowing where to start or how to start, we can put it off. However, putting it off for too long can result in mounting debts or costly opportunities that are missed on how to increase our income. If you want to get yourself in order here are some good ways to start.
- Know The Little Costs Add Up
It may be one late charge here or a small fee on your overdraft but the costs add up. Furthermore, if you become a repeat offender of incurring particular charges, you may not be able to borrow from that provider in the future. Be sure to stay on top of this by checking your bank balance regularly and have a good understanding of your outgoings from month to month.
- Save Then Spend
Modern day technology makes it ridiculously easy to part with your hard earned money. The best and most worthwhile thing you can do with your money is save more of it because it gives you time to think about the real use your money can have. Eventually, we must move away from the desire to spend a large majority of our income on things we may later forget we own. Start renewing your mindset on the importance of saving and investing and remember that on payday.
- Find Out How Interesting Your Interest Rates Are
Whether you only have one source of credit or you have 10, it’s important to rank each one by order of the highest interest rate. Why is this important? For every debt that you carry forward, it’s the credit with the highest interest that is costing you the most until you pay it off so it’s important to prioritise things in that order. Also, bare in mind that there are different types of interest rates such as fixed and variable. So if you haven’t already, pull out your credit statements and find out what the interest rate is and the type of interest you are paying.
- Shop Around
There are so many comparison sites and discount codes available that paying full price isn’t always worth it. Social media also now makes it very easy to access deals so make the most of it and save some of your money.
- Reviews Are Worth Checking
Always check reviews and take the responses with a pinch of salt. It’s worth seeing what the product has been rated before you decide to take the plunge and buy it. You can save yourself time and return hassle by reviewing the usability of a product over various websites.
- Find Out What Perks You Can Get
Between your bank, your credit card provider, and your phone company, you are probably able to get more perks than you are aware of. If you pay for insurance for your phone independently, check with your bank as they may offer you a better deal because of how long you’ve been a customer with them. If you want to travel more it may be worth getting a credit card with a company that offers air miles. Think about the perks you want and see if they are available with services you already use.
- Start Making Comparisons
It is only when someone utters the words “rip off” that you realise that there is a way for you to be paying less for something you are currently paying more for. Sure it may mean a bit more admin work and more searching but every penny saved is worth it. If you are paying £200 per month for car insurance and you find a cheaper deal for £175 per month, it may seem like a little difference but you could save £300 a year from switching.
This post was written by Bola.