With many struggling financially right now,pressures arriving from all sides, it may be pertinent to reexamine what we can do to keep our money working for us to its full potential. We listed some essential steps to improve your finances.
Check Standing Orders & Direct Debits
It’s possible you’ve forgotten about some! Subscriptions to magazines? Are you willing to pay for ad-free apps? Is there a free trial that hasn’t been cancelled? Do you have any insurance that you require no longer? If you decide you no longer want a service or a subscription, notify the company. Do not simply stop the payment with your bank.
Check with your partner to make sure you don’t have any duplicate subscriptions or insurances. Such as Netflix, Amazon Prime, or Spotify. STOs and DDs aren’t all awful. Paying priority expenses including rent, council tax, credit card repayments, energy bills, and the TV licence this way is convenient. It saves you time and eliminates the chance of forgetting to pay them whether you’re busy, ill, or on vacation.
Essential Steps To Improve Your Finances – Pay Lower Bills
Let’s start with council tax. Some people are entitled to discounts that they aren’t receiving. Alternatively, they may be eligible for benefits under their local government’s Council Tax Reduction plan. As for electricity and gas bills, the situation is dire in the UK right now. Prices are set to rise further. But do your research on the internet, do not automatically accept a fixed tariff that your energy company tells you you should have. Find the best deal for you. And switch if necessary, though options are limited right now. And as for water, consider whether a water meter could save you money. I could not have one fitted in my property, but because that was the case, United Utilities were obliged to offer me a cheaper tariff instead.
Essential Steps To Improve Your Finances – Ditch Your Bank
In the United Kingdom, it is more likely you would end your marriage than to change banks. It’s not because we despise our banks. it’s because changing them seems too difficult or frightening. But it’s a lot easier now than it was previously.
Most banks now provide a switching service that takes care of everything. This includes alerting all of your frequent payers and senders of money. It should take no more than seven business days to finish. If they get it wrong, you’ll get a refund for any lost interest or extra costs you incur within the first 13 months as a result of the switch.
So, look for an account that appears to be a good fit for your banking needs. Are you frequently in the red or constantly in the black? Many also provide incentives to new customers.
Lower Interest Charges
If you have a decent credit score, you may be able to refinance high-interest debt and save a lot of money.
There are still some decent 0% deals available in 2021, but they are shorter, have more fees, and smaller credit limits than they were a few years ago, so take advantage of them now if you can!
Remember to pay your mortgage! It may be “good debt,” and it is significantly less expensive than other debt, but this is likely one of your largest bills, so even a half-percentage point is worthwhile.
If your fixed-rate period has finished, you may be able to save money by switching now, but even if you can’t save much, it’s still a good idea to lock in a rate for as long as possible to protect yourself from future increases.
Essential Steps To Improve Your Finances – Pay The Minimum
If you merely pay the minimum on a credit card, shop card, or catalogue, it can take more than 20 years to pay it off because the minimum is reduced by a small amount every month.
This is the minimal payment trap, and the article describes a surprisingly simple way out. Try it if you need to clear a card but can’t afford to pay a lot of money to do it.
Of course, this only works if you don’t use the card any longer!
Spend Less!
For many people, shopping on the internet has surpassed shopping in stores. With coronavirus lockdowns, this has been boosted even more.
It’s so simple to seek for something and then have it delivered to you with a few taps. But, for the benefit of your bank account, is it too simple?
If you believe this is a major flaw in your personality, have a look at these suggestions to help you manage your online spending.
