a few tips

LITTLE_LISA_2

1. Save 5% of your income as part of a long-term savings plan. By doing so, there is a good chance that you will financially secure your future and be able to attain your financial goals.

2. Fix your mortgage payments for two years at a time and then when your deal runs out, use a broker to shop around and keep you on the best rate.

3. Adopt the one payment habit by consolidating your debts (i.e. mortgage, loans, credit cards, etc) into one payment. This will reduce your monthly outgoings and paperwork - and allow you healthier disposable income to enjoy your life. If you prefer to make purchases by credit card, then make sure that the full balances can be paid off comfortably and fully each month.

4. Use the "Can I sleep?" judgment when making investments. An investment is too risky if you are going to lie awake at night worrying about it.

5. Don’t become emotionally attached to shares. If a particular share price falls for good reason, such as bad management, get out. But if the share value is falling as part of a general sector downgrade, there is little reason to sell.

6. Beware of plastic. Store cards and credit cards may be convenient, but they are also an easy way of running up debt. If you use them, make them work for you by spending the banks money and settling up with yours by the pay by date on the statement. If you time it right you can get up to six weeks interest free (N.B. make sure you pay the full balance off every month).

7. Don’t fly now, pay later. It is very depressing to be still paying for a holiday (or any other luxury) five years later, when you want another one!

calleyw

LITTLE_LISA wrote:

3. Adopt the one payment habit by consolidating your debts (i.e. mortgage, loans, credit cards, etc) into one payment. This will reduce your monthly outgoings and paperwork - and allow you healthier disposable income to enjoy your life. If you prefer to make purchases by credit card, then make sure that the full balances can be paid off comfortably and fully each month.

I agree about paying off CC every month. But you will find a lot of people do not agree with the consolidation tip.

There are many here who have tried consolidation not once, but twice and even more for some.

Because they are first to admit they never got to grips to where the money was going. So they clear their cc and then start spending all over again. So end up in even more debt.

One of the best tips for people to follow is to budget, budget oh and budget. So you know where all your money is going. And see where your money is going.

Yours


Calley

Mrs_Sparkle

Some good advice but I'm afraid consolidation is rarely the best option. You have to deal with the cause of the problem rather than the problem itself- i.e. change your attitude and spending habits for good. I've been down the consolidation route more times than I care to remember and every time I've run up more debt within months of consolidating.

southernscouser

As others have said number 3 isn't particularly great advice with no disrespect.

Yes it could mean lower payments which means you could enjoy your life more but you need to realise it could cost you more in the long run and take longer to become debt free!