Save money: 6 tips on saving money for a rainy day

Save money are the magical words in sound financial management.  You can always save more.  It’s about both an attitude of determination and being resourceful.

It all starts with budget preparation, knowing your expenses, both monthly and one off costs, and knowing what to trim or eradicate entirely.    Once you embark on this mental journey and begin to save, it is immensely empowering.  We provide six points of reference to help you with your personal save money campaign.

Save Money and key pointers

  1. Your mortgage is a good place to start. Your home is an asset, so look at key financial factors focussing on your house.

First, however, here is a word of caution.  Be careful where you make your cuts.   Eliminating your home insurance, for example, might save you quite a few pounds a month, but you could end up without a property if your house burnt down or there was a natural disaster like flooding.  Usually buildings insurance is also compulsory if you are carrying a mortgage.

Talk however to your mortgage lender so see if readjustments to your mortgage can be made.

Talk to other lenders in the UK marketplace who may offer cheaper, better alternative mortgage plans.  Make informed decisions with your partner.   If flying solo, we suggest that you consult trusted family member or friend.

  1. Do not borrow more. And do not borrow from Peter to pay Paul and at very high interest rates. That is a debt generating spiral which goes totally against the principle of the save money objective.  Be determined.  This point is most important.  If that means cutting up credit cards, then take action.  Use old fashioned cash for day-to-day expenses on say a weekly basis.

Another point reference credit cards and your quest to save money:  if you cannot meet the credit card debt by the end of the month, then do not spend!  Be rigorous with yourself and your family.  It’s tough love.

If your family members are old enough to understand about basic family finances and commitments, it would do well to begin either educating them, encouraging them to be resourceful or if teenagers having a regular family heart to heart conversation.   It’s about empowering the family to regroup for future benefits and those luxuries like holidays or cable TV.

A family holiday doesn’t need to be taken abroad.  Britain is the most beautiful country with so many delights in every aspect.  From beaches to mountains with hiking trails, charming countryside and a wealth of history which makes it a must do on most foreigners’ bucket lists.  Enjoy being “at home”

Save, save, save money – a money mantra

  1. Review your direct debits. Can these be revised?  What is important is to painstakingly review all such costs and be aware of such costs, and go back to your respective service providers to negotiate.  All this is about saving costs.  Save, save, save.

The UK is a competitive marketplace and you are the customer.  Service providers are continuously providing the market with new packages.  Please arm yourself with the latest information and best competitive rates.   Let them know you wish to save money.

  1. So review the energy and water costs and see where savings could be made. Maybe go the extra measure, for example, if you have a garden can waste water be rerouted to water the garden.  Save money means being creative and responsible for you and your family.

If you have large arrears on your gas, electricity or water bills, some utility companies offer assistance, however you will be required to be a customer of the said company.  So contact yours to check if it offers such a scheme.

  1. Daily expenses need to be reviewed; please absorb this on a long term view. Maybe one can save a pound or two per day eliminating that take out coffee or going for a lunch-break with colleagues.  You can put forward that you are saving for something special.  Saving is such a positive reinforcement and provides such a range of benefits.

Save money and legal schemes and benefits

  1. Additional Schemes and Benefits are available in the UK. Research these thoroughly.              It would serve you well to check if you or your family qualifies for benefits.  Check online in a matter of minutes.

There are a couple of Government schemes specifically to assist mortgage holders who are struggling with their monthly repayments.

If you have, or have had a loan, then it’s vital to crosscheck whether you were mis-sold payment protection insurance which could’ve cost you thousands of pounds.  Check if you can get the cash back or part thereof.

For those in debt, some of the loan debt has been made up of fees and charges. If you’ve incurred bank or credit card charges for going beyond your limits, you may be able to get the cash back.  Such cash backs mean money saving  – which initially can go towards paying off debt –  but once debt-free, it means that you have cut costs and savings then increase.

It’s also possible you may be in one of 400,000 homes in the UK paying too much for your council tax.  So check and save money, it could be worth the time investment.

By checking out the above points means you are already on the save money road; so much about money is about awareness so that when disasters or upsets strike, you are well prepared for you and your loved ones.