Last updated at 13:43, Tuesday, 15 July 2008

Are you starting to feel the pinch on household finances? Here's a helpful guide to saving money...

A piggy bank

FINANCES
1. Mortgage check: Check your mortgage. Are you getting a good deal? If not, use a fees free broker to check out the best deals on offer for you and switch. You may be surprised at the savings you could make.
2. If you are feeling the pinch, speak to your mortgage provider about taking a mortgage payment holiday. This is better than defaulting on your payments.
3. Consider consolidating: Are you struggling to pay your monthly credit card bill? Check out low cost loans: you could save many pounds on interest. Read the small print carefully and stay away from high interest loans. Always look at the total amount you will end up paying. Lower monthly payments may sound payment penalties, arrangement fees etc.
4. Use zero per cent credit cards: Look for a credit card that offers either zero per cent on balance transfers or advertises balance transfer offers where interest stays low until the debt is clear.
5. Reclaim bank charges: Check your monthly bank charges. Are they high? Try and reclaim any late fees or overdraft charges. If you think your charges are excessive look at what other banks charge. If others are lower, consider transferring your account.
6. Maximise your savings: See if you are getting the best possible interest rate for your savings. Opening an online savings account could receive a higher interest rate than a regular current account. Some banks even offer a bonus for signing up with them.
7. Avoid extended warranties: When buying goods avoid the extended warranties. They are usually expensive and not worth it in most cases.
8. Budget: List all your income and expenditure, draw up a budget and make sure you stick to it.
9. Let a room: If you have a spare room you can redecorate and advertise for a lodger.
10. Stop impulse buys: If you are short of cash and need a loan for a large item of furniture or electrical goods, first wait at least one month and think, do you really need this item now? Can you wait and maybe save a larger deposit, thus reducing the amount of the loan?
11. Pay a bit extra: You will save pounds in interest if you can pay your mortgage off early. Try to pay more every month or make extra payments if your mortgage provider will allow it.
12. Use a credit card with no foreign currency charges: Most UK credit cards will charge 2.5 per cent for making a purchase in a foreign currency. There are some credit cards, such as ones from Nationwide and Citibank, that do not charge this fee.
13. Avail free help: If your income is less than your outgoings you may need financial help; your local Citizen’s Advice Bureau will be able to offer you free advice.
14. Get what you are eligible for: Make sure you are claiming any benefits you may be entitled to like Child Tax Credit, Working Tax Credit and Child Benefit. Ask at your local Citizens’ Advice Bureau for details.

AT HOME
15. Loyalty costs money: Millions of us stay with one company for our utilities just because we can’t be bothered. Shop around, go online and visit the utility comparison sites to find the cheapest, and move service provider. You could even earn some cash back by doing this though cashback sites.
16. Save as a bundle: Today there is a numerous choice of telephone providers – find the cheapest, and don’t forget the cable companies who offer telephone, television and broadband packages.
17. Cut mobile costs: How much per month are you paying your mobile phone company? Check your usage on both calls and texts – do you use them all? If not you may save money by using pay-as-you-go.
18. Pay for what you watch: How much television do you watch? Do you really need to pay for all those movie and sports channels? Change to Freeview or Freesat... funnily enough, they’re free!
19. Water meter: Consider installing a water meter, especially if you have a large house with only a few occupants.
20. Go green: Make sure your home is energy efficient. You could be losing heat through un-insulated wall cavities. Save energy and money and have those cavities filled.
21. Check your insulation: Heat rises – is your loft lagged? By installing loft insulation you could save pounds on your heating bills. The thicker the insulation the greater the saving. If you are on a low income your local authority or energy supplier may be able to help cover the cost of insulation.
22. Use efficient appliances: All new electrical appliances have the Energy Saving Logo. Make sure you buy the most efficient and you will save on your annual fuel bills.
23. Change your light bulbs: Install energy efficient light bulbs throughout your house, they can last up to 10 times longer and will reduce your annual electricity bill.
24. Cool down: By turning your heating thermostat down one to two degrees you will be surprised at how much energy you will save per year, and therefore reduce bills.
25. Stick to 40: Wash your clothes on a 40 degree cycle, not only are you reducing your carbon footprint but your annual energy bills too.
26. Be romantic: Turn-off or dim your lights a few times a week and enjoy candlelight at a fraction of the cost.
27. Switch off: Don’t leave electrical appliances on standby – turn them off. You will be helping to save the planet as well as reducing your energy bills.
28. Be innovative: Save money on buying bedding for pets by using shredded paper from the office, or your own shredding machine.
29. Re-use what you can: Don’t throw away old ice-cream and other plastic containers. Save them for freezing food.
30. Save paper: Keep the tissue that comes when you buy new clothes and re-use it for wrapping gifts. Or try wrapping gifts with old comics, newspapers or magazines, and then get your children to decorate them with ribbons and bows.
31. Have showers: A quick shower can save a lot of money compared to a bath. Try turning the water temperature down too as this will also save you money.
32. Use it all: Don’t throw away tubes when you think they are finished eg toothpaste, foundation, hand cream, tomato puree etc. Cut open the tube and you will be surprised at how much is still left.
33. Kettle: Only fill the kettle with the amount of water required. This will save on energy and money.
34. Dryer: Instead of using a tumble dryer, dry your clothes overnight on a clotheshorse.
35. Washing: When you use your washing machine make sure it is full every time… but don’t overload as repair bills can be expensive.
36. Cheap brands: Cleaning products are expensive. You do not always need the top brand to do the job. Uses the retailers’ own brands or even try using white vinegar and newspapers to clean windows and mirrors.

MOTORING
37. Downsize: Trade down your car to a smaller model to save hundreds of pounds every year on not only fuel but road tax as well.
38. Breakdown cover: Choose cheaper breakdown insurance cover. Don’t just think about the AA or RAC; there are numerous cheaper alternatives. See if you can get it cheaper with your insurance provider.
39. Save on insurance: Visit comparison websites to look for cheaper car insurance. If you can afford to pay in full then do so; you will pay more if you choose to pay in instalments. Do not be lazy – switch.
40. Car pools: Join or start a car-pool. You will save on wear and tear, fuel and parking. An increasing number of roads now have lanes especially for cars with more than one occupant making travel time quicker.
41. Walk or cycle: Reduce your carbon footprint and waistline: sell your car and walk or cycle instead.
42. School runs: Many people live close to schools and still drive their kids to school. Leave the car at home and walk your children to school. If you must drive, see if you can pool school runs with your neighbours.
43. Slow down: Save money by slowing down. The RAC claims most car engines run far more efficiently at 60-70 miles an hour, compared to 80 mph or over. Also make sure that you keep your tyre pressure up – if your tyres are under inflated by 20 per cent then you’ll use 10 per cent more fuel.
44. Wash your car: Don’t use car washers – save money by washing and polishing your own car.
45. Cheaper fuel: Search the web to locate the cheapest petrol station near you.

SHOPPING
46. Shop online: Things are usually cheaper online, with retailers being able to offer better deals due to lower overheads etc.
47. Get cashback on your shopping: Earn extra money by doing your online shopping through a cashback site.
48. Plan and save: Plan your meals for the week, make a shopping list and stick to it; you will be surprised how much money you save at the till.
49. Shop wise: Don’t be a food snob, consider trying supermarket own brand goods. The difference is often just in the packaging.
50. Buy seasonal: Try to buy fruit and vegetables that are in season. These are far cheaper than the out of season ones that have to be flown in from abroad.
51. Stop buying expensive sandwiches: Instead of buying from a shop, take a packed lunch. This will save not only on money, but your sandwich will not be full of additives and preservatives. Furthermore, you may cut down on calories as well!
52. Green fingers: Try growing your own vegetables and fruit. Even if you don’t have a large garden you can use pots or tubs, or even window boxes.
53. Cheaper prices: Beat the supermarkets and start shopping at markets; the markets have lower margins, and so the prices should be lower. Or buy direct from farm shops for cheaper fresher produce.
54. Cook more: Shop bought ready meals are expensive and won’t be as tasty. Remember to freeze any leftovers.
55. Save money: Don’t fall for the marketing hype of bottled water brands. Britain has among the cleanest tap water in the world and is perfectly safe to drink. Alternatively filter your own. Bottled water in the UK is ridiculously costly.
56. Shop midweek: It is cheaper to shop for groceries online through the week rather than at weekends.
57. Bargain hunt: Wait for the sales to buy large goods or try haggling. Offer to pay by cash and you be able to receive an even lower price, as the credit card companies charge retailers a fee for every transaction.
58. Own brand: Don’t buy brand name medicines. Opt for the supermarket and chemists own brand labels: they are so much cheaper.
59. Shop around for specs: Have your eyes tested at an optician, and then take your prescription along to your local supermarket to buy your glasses. They generally don’t sell absurdly priced designer frames but who cares?
60. Contact lenses: As with most things, contact lenses are cheaper online. Some of the major supermarkets also sell them for a lot less than the high street price.
61. Check dates: When shopping in supermarkets buy items that are going out of date today – they should be cheaper and you can freeze them.
62. Sales: Buy next year’s Christmas gifts and cards in this year’s Boxing Day sales.
63. Spread the cost: Spread the cost of Christmas by buying a few gifts every month.
64. Ask: Don’t be afraid to ask for freebies – beauty departments in larger stores tend to be generous with free samples. You can also use freebie websites.
65. Look for discounts: Buy your designer gear at designer outlet villages – they give large discounts on clothing and other household items.
66. Start complaining: Don’t waste your hard-earned money by not complaining. It you have purchased something that is unsatisfactory, don’t be afraid to take it back and ask for a refund.
67. Repair and save: Instead of throwing out damaged clothing, repair it instead. Don’t toss out a shirt because of a broken or missing button – sew a new one on with some closely matched thread.
68. BOGOF: Keep a lookout for Buy One Get One Free or other offers, and buy a good supply of the discount product.
69. Say “no” to packaging: Loose fruit and vegetables tend to be cheaper in the stores than packaged. It is also kinder on the planet if you avoid plastic.70. Drink for less: A day-trip to France to stock up on cheap wine might be out of the question for any Cumbrians without a private plane, but the supermarkets quite often have special offers only available online, offering up to 50 per cent off a case of six or 12 bottles.
71. Caution with auctions: Many people end up paying more than what things are worth in on auction websites like eBay, just to ‘win’. Set your budget and stick it. Don’t get carried away.

LEISURE
72. Go local: Cancel your expensive gym membership and try your local council’s leisure centre; they are usually fully equipped and a fraction of the cost.
73. Do you need a second or third TV? Many people buy second and third televisions to watch in other rooms. Consider using your PC or laptop instead. Once BBC television programmes have been broadcast you can watch them on your computer using the BBC iPlayer.
74. Don’t pay full price: Don’t pay full price for cinema tickets. Large multiplex chain Vue offers cheap weekend deals for families.
75. Two for one: Try eating at restaurants during off-peak hours. Many restaurants offer deals such as two for the price of one, or even a free glass of wine.
76. Off Peak: Travel at off-peak times and pay lower fares on trains and buses. Plan your journey to travel on the first off-peak train or bus and you can save many pounds.77. Holiday savings: During holidays search for free or inexpensive events for the family. Use your imagination to think of things to do that don’t cost a lot.
78. Book early: Book plane tickets well in advance to save pounds. Shop around for the best deals for accommodation. Try hostels and bed and breakfasts, or self-catering instead of expensive hotels.
79. Use libraries: Make use of your local library and save a small fortune. You won’t need to buy another DIY or cookbook again. Most libraries now stock a good range of magazines, CDs and DVDs as well as books.
80. Stop smoking: You could save thousands a year. With most cigarette brands selling in excess of £5 for a packet of 20 that’s moer than £35 a week for a 20-a-day habit.
81. Spend and share: If you are football crazy and must buy a season ticket, try to split the cost with friends or relatives: they can go to the midweek games that you never attend.
82. Have a clear out: Have a clear out and make money by selling all your unwanted gifts, clothes and accessories on eBay.
83. Do you need a slimming club? Don’t pay weekly registration fees at slimming clubs. Start your own with friends, neighbours and relatives.84. Use your head: Cut your own hair, shave your head or grow your hair – all of these will save you money. If you have to use a hairdresser, don’t go the fancy ones and keep an eye out for special rates.
85. Use IT: If you live a long way from friends and family, save money on letters and stamps by sending a weekly group email.
86. Don’t gamble: Resist the temptation of all forms of gambling. Scratch cards and the National Lottery are a waste of money. You are more likely to be struck by lightning than winning the National Lottery.
87. Become teetotal: How much alcohol do you drink? A couple of bottles of wine a week? A few pints after work? It all adds up. Cut down on your alcohol intake or, if you can’t, buyer cheaper brands.
88. Spread the cost: Cut the cost of buying books, magazines and newspapers. Start a reading club with friends, family and neighbours.
89. Stay in: Almost every activity at home is less expensive than going out. Invite some friends over and get everyone to bring their own food and drink, Play cards, board games or just talk. Everyone will have fun, you will bond, and the cost will be low.
90. Start brewing: Make your own beer or wine. If you enjoy an occasional drink this is a great way to enjoy some beverages at a cheap price.
91. Take your own: Look for restaurants where you can bring your own bottle. It will save you a small fortune.

CHILDREN
92. Free to join: If you have children under the age of six, join the Early Learning Centre’s Big Birthday Club. It’s free to join and you will get a 20 per cent voucher a month before your child’s birthday.
93. Free dinners: Make your own baby food by pureeing fresh fruit and vegetables. This will save you money. You will also know that the food is fresh, and free from additives.
94. Exclusive offers: Mothercare will send you details of exclusive offers and discounts throughout the year if you register with them.
95. Second hand: Check out local charity shops for children’s toys, books, jigsaws and dressing-up clothes.
96. Make your own: Lolly moulds and lolly sticks are cheap to buy, so try making your own lollies this summer.
97. Buy own label brands: Buy children’s clothes at less expensive shops. Try stores or supermarkets own labels to buy the same clothes at a fraction of the cost. If you wait for the sales you will save even more.
98. Get baking: Don’t buy birthday cakes from a shop. Have fun and make your own.
99. Family circle: Start a baby-sitting circle with reliable friends and family and save on baby-sitting fees.
100. Free ride: Attending theme parks is costly. Visit their websites to see what the latest deals are. Always take your own picnic – don’t pay their expensive cafe/restaurant prices.
101. Sweet deals: Take your own sweets and drinks to the cinemas so you don’t have to pay their exorbitant prices.

First published at 11:43, Tuesday, 15 July 2008
Published by http://www.newsandstar.co.uk