Finance remains an integral part of most of our lives – let’s be honest, neither you nor I can actually live without it. For the large majority the bulk of the day is spent working in an attempt to make enough money to…well get by I suppose.
Let us begin with short term savings accounts; these are a brilliant way of taking your money as far as it can go and making it actually work for you. Most of us are paid on a weekly/ monthly basis and if these types of products are utilised in a frugal manner, then your savings accounts can actually earn a reasonable amount of interest. There are various types of accounts out there, one needs to be sure that the account that they have chosen is actually right for them. A few things to consider are the potential penalties involved in early withdrawals from some accounts; so ensure that you choose an account that allows you to deposit and withdraw. Also, with the advent of mobile banking you can transfer within account almost instantaneously. In all honesty, you’re not likely to reap huge financial benefits however every penny counts, right?
Long term savings accounts are also an excellent way to ensure that you’re able to put something away each month. The best way to achieve this is to have a full and thorough understanding of what your income and outcomes are. Ideally you want to break down your costs and see where your outgoings lie, once you’ve done this you should be able to ascertain what disposable income you have left over each month. The next step is to spilt that disposable income and allocate it them into a short term and long term savings account. Remember, long term savings are exactly as it says on the tin – long term. Most of these come with an early withdrawal penalty so be sure to choose the right one that suits all your needs. Also, most of these accounts come with an introductory offer, be sure to remember when these begin and when these end.
Credit cards – in all honesty I am not a big fan of these as they can encourage excessive spending; they do however serve their purposes. They are in fact a good way of spreading your spending about and some do come with additional pecuniary benefits attached to them like free insurances and so on. The key to maintaining an effective relationship with your credit card is to pay it off before or on the due date to avoid incurring changes. If done effectively, you create a very harmonious relationship by gaining interest in your short term account whilst paying for most things on your credit card, then when the credit card is due, pay via your savings account.
Short term loans are also an effective way of managing your immediate finances. If you have a poor credit rating, look online for Aspire Money loans for poor credit. Many of us out there constantly have to dip into our overdrafts to manage the everyday outgoings or to keep our heads above the water. If this is a regular occurrence then a short term loan may be the best way to get yourself out of the woods and then regroup your finances.
There are companies that offer loans for those with bad and poor credit, such as Aspire Money bad credit loans but just be sure that you have chosen a reputable lender offering a reasonable rate.