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Credit Crunch Daily Tips

The simple answer is to change your easy credit lifestyle. Although this may sound hard to do, believe it or not there are lots of ways to help you beat the credit crunch day by day. It may mean a few sacrifices, but all of those little things can really make a difference. Here’s how:

FOOD

• Give up your daily latte
  Every small purchase adds up over time. Buying that latte, muffin, morning paper or weekly magazine really does add up over time.
• Make your own lunch
  The same goes for your lunch. You can save yourself a small fortune by preparing your lunch the night before and taking it to work rather than buying it there, and you can cut down on the calories too!
• Use up those leftovers
  Perhaps it’s that roasted chicken or that lasagne you didn’t quite manage – you should always make an effort to use up your leftovers. If you’re serious about cracking the credit crunch, getting rid of the throwaway lifestyle is a major step to success.
• Take advantage of BOGOF!
  Always take advantage of buy-one-get-one-free deals on your essentials, such as bread, toothpaste, deodorant and washing up liquid. You’d be surprised how much you’ll save over the long term.

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• Cut down your car use
  Do you really need to use your car as much as you do? Why not try cycling to work, or walking into town. With the price of oil hitting record highs lately, not only will the environment thank you, your wallet will too.
• Be energy efficient
  Always turn off the lights when you leave a room, make sure your appliances aren’t left on standby, and turn your thermostat down by one degree. Over time these simple little steps really add up to big savings on your energy bills.
• Have a shower rather than a bath
  On average a shower saves between 3-4 gallons of water compared to a bath, and uses much less gas to heat it too!
• Cut down on those nights out
  We all like to socialise with our friends, but do you really need to go out on the tiles? With the price of alcohol and tobacco being increased in this year’s Budget, now could be a good time to cut down. Why not ask your friends over for a meal (and ask them to bring a bottle!)

BANKING

• Keep a daily finance diary
  Try keeping a finance diary for a whole month for every spend you make, and keep all of your receipts so you can see where exactly your money is going. If you’re handy with technology you could even make a spreadsheet. You may be surprised at just how much money you waste every month.
• Try and avoid those impulse spending urges
  Before you decide to splash out, ask yourself the following questions. Do I need it? Will I use it? Can I get it cheaper elsewhere? You should always answer these three questions before you even think about flexing that credit card.
• Open up different accounts!
  Your bank account can be misleading, as it only gives you a snapshot of your funds at any given time. It does not tell you how much you have for your bills, your groceries or your spare cash. In addition, not all of our spends are monthly. Some come once a year (Christmas, holidays, birthdays, MOT), and some come every 3 months (gas, electricity, TV licence). It makes good financial sense to open up other bank accounts to help you manage your monthly pay packet better. You can name the accounts too, so when you get paid you can drip-feed them. For example:

• TV licence, quarterly account - £36 – put in £12 per month
• Christmas or Holiday, yearly account, £500 – put in £42 per month
• General bills, monthly account - put in £200 per month
• Unless you get into this routine you will not know exactly how much you can afford to save each and every month. Different bank accounts really do help avoid those nasty surprises.

Find out more:

• Compare Car Insurance Quotes
• Switch Energy Providers
• Transfer Credit Card Balance
• Apply for a High interest Savings Account
• Credit Crunch Explained
• Credit Crunch Monthly Tips