Wish you could spend less money? Well, with some careful money management you can very easily. We have put together five tips to help you keep an extra AED 1,000 in your wallet every month.
1. Switch your credit card to 0%
If you have racked up a huge bill on your credit card, then you could be paying well over AED 1,000 in interest every month. But there is a quick fix that can cut that interest right now. By switching to a zero percent card straightaway, it will give you breathing space to pay off the debt without worrying about the interest. Make sure however that you look out any fees associated with moving the balance to a zero percent card.
2. Lengthen the term of your personal loan
Having a secure personal loan is the best way to have any debt but not if it is leaving you cash-poor. Monthly repayments that are too high will leave you unable to meet everyday expenses effectively and you could fall into more debt. The simple way to fix this is to re-negotiate with your lender and ask them to increase the term you pay back or compare other loan providers. Paying less each month may increase the amount you pay in the long run but it will free up some cash so that you don’t create more liabilities.
3. Become a savvier shopper
When it comes to grocery shopping, you need to be clever about how you go about it. Get it right and you can easily knock off AED 1,000 a month. Top tips include:
- Leaving the kids at home as they will always ask you to buy them extras
- Shopping with a full rather than empty stomach to avoid impulse buys
- Switching to local produce rather than imported
- Shopping at a budget supermarket over your favorite high-end destination.
4. Get a better deal on your insurance
Whether it’s your home, car, health, travel or even life insurance – sticking with the same old provider because it’s convenient will cost you dear. When any of your policies come up for renewal, the first thing you should do is shop around and compare all the policies on offer. By searching for the best car insurance package, the number one home insurance deal and a more cost-effective health insurance policy – to suit your needs – you could save up to AED 1,000 a month.
5. Draw up a budget
If you jot down all your expenses over a month, you will quickly see areas that can be cut back on. Is that window cleaner, at AED 200 a month, really necessary? Surely you can wash your car yourself rather than paying someone else to do it for AED 100 a month … and if you drive a little slower you would have avoided those two AED 600 fines. Cancelling an unused gym membership, taking homemade meals to work and cutting out takeaways are another way to trim your expenses. Now, you just to need to find the right savings account to store all your extra cash.