Weathering The Credit Storm
How good are you with money? Do you always put your savings first, or are they last on your list of priorities and never seem to get seen to?
Whatever type of person you are when it comes to money, there is no doubt that the current economic climate doesn’t make saving money any easier than it used to be. With bills on the rise and no sign of an end to our money woes, it’s clear that we need to find another way to make the most of what we have for now.
So how do we do this? It stands to reason that if we can’t increase our income in any way, then we need to look at reducing our outgoings, just as any business would in the same situation.
A good way to do this is to keep a firm eye on your bills. How much are you paying in mortgage payments every month, for example? Some people are paying much more than they need to, and yet they avoid doing anything about it purely because it would take time and effort to do so. But if that time and effort results in a significant saving for you, isn’t it worth doing?
Do some research into other bills that are variable as well, such as gas bills and car insurance bills, for example. Ignore the bills you cannot do much about such as the television licence, as we all have to pay this – although if you don’t currently pay by monthly direct debit you may find it much easier to do so.
It sounds obvious but many people forget that the basic rule to remember – and the most important one too – is to make sure you spend less than you bring in each month. Even if the best you can do is to break even, that is better than running into debt!
However there may be a valid reason why you would need to borrow money at this time and if there is, you should spend time considering the best way to do this. Do you want to borrow some cash for a short amount of time – say a few weeks – or for much longer than that? It may be the case that an increase in cash flow is required in order to meet future objectives, such as planning home improvements to up the value of your house.
Whatever the reason may be, make sure you compare loans before making the final decision. This will enable you to get the best possible deal for your money, and result in the smallest monthly payments to fit into your current budget.
In short, if you plan ahead and make sensible decisions you will be able to weather the current climate much more easily.
Paul McIndoe writes for a digital marketing agency. This article has been commissioned by a client of said agency. This article is not designed to promote, but should be considered professional content.
