It is because we can’t predict the future that we save. Saving money can help you become financially secure and provide a safety net in case of an emergency, or pandemic, such as COVID-19.
If you feel that you aren’t in a position to save, don’t give up, small changes can add up to big savings. Below are some strategies that will, hopefully enable you to make the most out of your money.
- No amount is too small to start saving, every penny counts.
- Make saving work for you by setting up automatic withdrawals from your current account into a savings account.
- Take stock of your spending – one way to tackle this would be to write down everything you pay for each day to identify where to cut costs in the future.
- Tackle any debt that you may have – wiping out your debt, or even a small chunk of it, could enable you to put the money you currently pay in interest into a savings account instead.
- Chase refunds for services you can’t use – a gym membership is even more idle than you during lockdown, as are subscriptions to restaurant clubs and many other services. Consumers who can no longer use products or services due to the lockdown are fully entitled to cash refunds – no ifs, no buts.
Interest rates have been low in recent years and, to access the best rates available, many savers have put money into higher-paying accounts. But these kinds of accounts usually have special rules around them enabling them to pay higher rates. Check out the options by looking at Fixed Term, Limited Withdrawal and Notice Accounts. Better still, search for the best possible terms out there using price comparison sites.
There are other options – for example investing your money in the stock market, or in Peer-to-Peer lending firms (like us – themoneyplatform.com). But note that with these investments your return is not guaranteed, your capital is at risk and whilst you might make a good return you could also lose money.
Remember, saving is the ultimate self-care – you’re making life easier for yourself in the future!