Organising Your Finances and Saving Money
When you first get into debt, there are a few basics you can do right now to help your situation and improve your position. We have compiled a top tips list below to get you started:
- Sit down and write down all the debts you have - credit cards, loans, store cards etc
- Next write down all your regular monthly outgoings
- Now write down your regular monthly income
- Now you are ready to complete your monthly budget
- Whatever the difference between your monthly outgoings and your incomings is the money you have left to spend on any extras
- If you find your debt repayments cover over 20% of your net monthly income, it is time to look at cutting back and saving money elsewhere, before the debts overtake you and become unmanageable
- If you feel your debts have already become unmanageable and you ae finding the stress and burden too great. Don't despair, it is time you took back control - you need to contact a debt management professional - please click here for more information.
- Now you need to be strict with yourself - do not take out any more loans or increase your borrowing, this will only make things worse in the long run.
- Decrease and watch how much you spend on a daily basis and reduce it down as much as is feasibly possible.
- Next try and save money on all your bills by switching them to direct debits - most suppliers will offer a discount for switching to direct debit.
- Look to switching your utility suppliers - gas, electric etc - there are some great comparison websites out there to find you the cheapest deals available (don't set up direct debits with those companies you are looking to switch). A good one to try is: Utility Warehouse.
- now its time to look at all the rest of your regular outgoings to see if switching to a new supplier will save you money - car insurance, phone etc - you will be surprised how much money you can save by going for the cheapest available alternative. (before switching from any company - check there are no penalties incurrd for doing so).
- Cut up all your store cards etc - so that you can't increase your credit debt.
- Finally look at changing where you do your regular weekly shop - try the cheaper brands and also the in house brands - again you will be amazed how much you can save.
And most importantly - do not despair - there are so many of us suffering at the moment - but the key is how YOU deal with it - if you just sit there and bury your head in the sand - it will not go away - however if you decide to FIGHT BACK - not only will your self esteem improve - your situation will too.
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