Frugal Families Find Financial Relief

The cost of living quickly adds up, so savings opportunities of all kinds provide welcomed relief. Every pound saved can be applied to another spending obligation, so lowering your everyday outlay actually reinforces your financial health.

Some cost-cutting measures furnish one-time savings, but others can save you money again and again. For immediate relief as well as ongoing savings, commit to frugal lifestyle strategies capable of cutting costs and keeping your spending in line over time.

Take Advantage of Perks, Rewards, Cash Back and Other Discounts

Competitive retailers, restaurants, and service providers continually work to gain customers and keep the ones they have. In order to stand out among the competition, many outlets now offer incentives for giving them a try and staying loyal. Most often, the savings opportunities are extended without obligation, free of charge. If you are serious about reducing your overall spending budget, leaning on perks and rewards can help you keep costs as low as possible.

Grocery coupons can help you save money on individual items, but signing-up for store cards provides lower prices on widespread products, without the need for clipping coupons. Similarly, your favourite retailers may offer discounts to those who reach a certain spending threshold. Some programs use cards, noting each purchase, until you reach the magic number. Spending one-hundred pounds, for instance, may earn a voucher for twenty pounds off your next purchase. Although you won’t save money up front; once you log enough buys to earn the incentive, it is just like getting a 20 per cent discount on all your past purchases.

From coffee houses to family restaurants, frequent diners are commonly rewarded with bonus offers. Buying six coffees over time might earn you a free one. Or adding up ‘points’ during restaurant visits can lead to cash credits based upon the number of pounds you spend. Even credit card companies sometimes promote cash back offers, refunding a portion of each purchase. As economic conditions have tightened in recent years, credit card cash back offers have become less generous. But even a one or two per cent reward can grow to a sizable sum when applied to every card purchase made.

Get Better Rates for Insurance Cover

Fast-paced living sometimes prevents us from looking closely at insurance renewal premiums. It is easier to simply stick with the status quo than it is to investigate alternatives, but failing to negotiate a better rate can cost you a lot of money. When your house or car insurance comes due, take the time compare offers from other providers. You may find your current deal provides a cost effective approach, or that there is room for savings. You may be able to negotiate a better rate with your current provider by sharing the other offers available to you, but if they are unwilling to adjust your bill downward, you’ll still save money moving to a more affordable company.

Use the Right Kind of Financing

When cash on hand isn’t enough to cover your spending needs, various forms of credit can help you meet your financial obligations. Each type of financing has pros and cons, which can help you decide the most cost-effective approach to borrowing. Short-term needs are easily covered by credit cards or loan options backed by your paycheck, but the interest rates are not the same on all forms of funding. A fast-access loan, repaid timely, will cost you much less than a high-interest credit card charge carried-over from month to month. And if you won’t be able to wipe the debt in the short-term, house equity or some form of secured personal loan may be the best choice.

Pay Your Bills in a Lump Sum

Customer preferences are handled differently than they once were. Spreading payments over time was once a standard approach, enabling consumers to pay their bills in monthly instalments, without additional charges. The high cost of carrying these balances and a turn toward opportunistic money making have prompted many organizations to institute fees for spreading payments over time. Even with a modest monthly add-on of £2, a £100 charge could cost you 25 per cent more than paying the bill all at once. Whenever possible, leave your money in the bank by sidestepping instalment fees.

Focus on Value Rather Than Price

Price is important, but overall value is a better metric when analysing spending. Use your best judgement with each purchase you make, but ask the right questions before committing to buy. Is the object well made? Is it an essential, often used item on which you’ll regret skimping? Have other buyers had a good experience with it? Answering these and other question can help lead you to the best value for your money. It is important to remember; buying an inexpensive version of something and then later replacing the item costs more than buying a lasting sort from the start.

Committed families find ways to save money, without making uncomfortable sacrifices. Use these tips to keep more money in your own hands and save time and again on your overall cost of living.

Paul graduated in 2001 with a degree in Finance. Since then he has gone on to work for several of the UK's most well-known financial institutions.

An avid blogger and a huge football fan, Paul is here to guide you through the ins and outs of personal finance and perhaps save you some money in the process!

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