Don’t let your money worries get you down. Eliminate the stress of dealing with financial matters such as budgeting, bills and debt. Here’s how you can be on your way to a more positive financial lifestyle with Experian 2015 Financial Success.
Almost everyone faces some kind of financial difficulties or challenges at some point in their life – it’s part and parcel of growing up. But it’s true what they say, money makes the world go round, and without it, things can quickly grind to a halt.
Money is also one of the main causes of stress, marriage break-ups and arguments, and although most of us think that we can manage our money effectively, when it comes down to analysing our monthly incomings and outgoings, many of us are proven wrong.
One of the main problems is that nobody likes to talk about their money worries, let alone face up to them. What they don’t realise is that it is possible to get back on track financially by making small yet effective changes to their everyday spending habits.
With many New Year’s resolutions focused on making positive financial changes in 2015, how many of you have actually followed through with these resolutions?
If you are yet to look at ways of how you could make significant savings throughout the year, or have struggled to get going, here’s some helpful money advice from Experian and Mrs MoneyPenny – a financial guru when it comes to offering helpful tips and advice on how to save and budget. You would have probably spotted her on Channel 4’s Superscrimpers!
Face up to your debt
Almost all of us have some sort of debt, it’s part and parcel of growing up and starting a life of your own. Whether it’s student debt, wedding overspending or mortgage repayments, it’s likely that all of us will encounter debt at some point in our lives. Having debt isn’t a problem as long as you are able to successfully manage it and keep on top of it.
According to Mrs Moneypenny, the best way of auditing your debt and keeping on top of your finances is to make an inventory of everything that you owe, and work out a plan of how you are going to pay it off.
This might mean consolidating the amount into one manageable payment or simply working out a structure of how you can pay the debt off without incurring interest. Interest rates vary from bank to bank, so it’s worth checking these in order to prioritise what needs to be paid first.
Knowing what debt you have got and where it is vital if you are going to successfully make positive life changes.
Where can you make significant savings?
There’s always savings to be made somewhere, if you’re willing to look for them. By simply changing your everyday spending habits, you’ll soon to start to notice the difference.
It’s all about taking a structured approach to the way you manage your finances in order to help you make better financial decisions. It also helps to be open-minded to making changes that will free up cash that could go towards buying your first home, saving for a baby or even paying off your existing mortgage.
Mrs Moneypenny says that a great way of doing this is to write everything down that you spend throughout the day. From the packet of chewing gum that you grabbed on the way to work, to the chocolate bar that you just had to have on your break – you’ll soon see how much of an impact that these small purchases are having on your bank account.
Could you be earning more money elsewhere?
The advent of technology and online websites such as eBay and Gumtree, provide the perfect opportunity to earn much needed cash at times in your life when you need it most.
For a longer-term solution to your money worries, Mrs Moneypenny suggests considering renting your spare room out to students, if you are in a position to do so. If you live in a large house alone with a costly mortgage payment each month, renting out your spare rooms will provide a reliable and frequent source of income.
The added benefit is that you won’t even need to pay tax on it! If you’re struggling to make your monthly mortgage repayments or if they are leaving you with limited cash at the end of the month, this is definitely something that you should consider.