We’re well into April now and spring is in the air. Lambs are leaping, the daffodils are out, Easter is gone, and you might be thinking about having a good old spring clean. It’s a great feeling to have everything in order for the year ahead. But why limit yourself to clearing out your home and sprucing up the garden?… When was the last time you did a spring clean of your finances?
The changes might not be as instantly clear to see as a sparkling home or power-washed patio. But giving your finances a spring clean doesn’t take need to take long and can pay off in a big way. Here are a few tips to put more money in your pocket each month and live a little larger in 2022 and beyond.
3 Tips to Spring Clean Your Finances
1) ‘Watch’ your budget
It’s amazing over the course of the year how our spending can creep up. Picking up free trials that turn into paid subscriptions is an easy way to lose track of your budget. Or maybe the family isn’t making the most of all those Netflix, Prime, Apple TV and Disney+ subscriptions you started keep everyone entertained during lockdown?
Watch out for the things you’re not watching, and cancel them. Month to month streaming services are made to be flexible. If you miss one, you can restart it any time you like.
Even calling up to cancel your Sky TV contract is worth doing. It might seem daunting, but you can get a hefty discount from without even trying. Just ask to cancel as it’s too expensive, which is a very real issue with the rising cost of living right now. You’ll find they are surprisingly friendly and very keen to keep you.
2) Move your mortgage
When it comes to cutting your household costs, sadly, stuff like switching energy suppliers isn’t going to save you any money like it used to. Prices are unfavourable across the board right now.
But, your home could still be the source of great savings if your mortgage is up for renewal. Mortgage interest rates have started to creep up a little again, but there are still great deals to be had out there. In fact, even if you have another year or so to go on a fixed rate mortgage, you might find a deal that’s worth paying an early exit fee for.
We can help find the best mortgage deal out there, show you how much you could save, and even let you know if it’s worth renewing early. Get in touch before interest rates creep up any further.
3) Pay off your car
Got a car loan or lease purchase deal? If you’re planning on keeping your car, don’t keep paying interest on it. If you have the funds available, it’s often a smart move to pay your car off as soon as possible.
Think about it. You’ve got all your finances in order, a nice pension plan in place, maybe even an investment portfolio and a Stocks & Shares ISA too… But the interest on your car payments is dragging your investment earnings back like an anchor.
That car loan is an investment in itself, and it’s a losing one. Paying it off early will instantly put your monthly car payment back in your pocket, plus you’ll avoid paying years of interest and potentially save yourself £1000s.
Don’t worry if you’re reading this thinking that you’ve not got your pension or investments sorted out yet. Make 2022 the year you get on track. We can help you create a personalised plan that fits your lifestyle and future goals. Get in touch to add a sparkling finish your financial spring clean.