5 Terrible Financial Habits You Should Ditch Today
Trying to make the most of your money is never easy. I guess if you landed on Savvy Cheapskates, then you are looking for more ways to save and make your pound/dollar/euro stretch. But sometimes you don’t even need to economize – all you need to do is ditch some terrible financial habits. We all have them, so don’t pretend you are OK there. Here are 10 really bad financial habits that can cost you a lot of money in the long run. And that’s money you could use elsewhere.
1. Not Saving
All right, so I started yet another article with an obvious statement. But tell me, do you have a savings account? And if you do, how much money do you put away each month? Not a lot, I bet. I’m guilty of failing to top up my savings account every month myself. And not because I can’t. Even if you put a little bit every month, like £100, you will be able to save a lot of money over the years. So, let’s make this a priority and start putting away something today!
2. Buying Things on Loan
Stores keep tempting us with different kind of deals that involve loans. Get a brand new fridge and pay later! Get a new laptop and pay next year! Hooray!! Well, the thing is, you probably don’t need that new fancy thing. The shops are trying to trick you into buying it. Worse still, they are tricking you into buying something you can’t afford. So, back to tip one – save first, buy next.
3. Getting Takeaways
An occasional takeaway is always nice. But not if you are trying to economize and save as much as you can. Living off takeaways and eating out can burn a huge hole in your pocket even if you earn a good salary. There are tons of nice recipes online and a lot of them are developed for busy people. A tasty meal ready in 30 minutes? Easy! And you won’t be eating anything that’s bad for you too, which will help you save on your medical bills in the future.
4. Competing with Your Neighbours
Here’s another one of my favourite terrible financial habits. So your neighbours just got a new TV and you just HAVE TO get one too? Rubbish! Let them have that new whatever-they-bought and stick to your perfectly working thing. You don’t have to spend that money on things you don’t really need. Smartphone competitions are the worst – you have to have an iron will to avoid getting the latest and greatest. Better make your garden look prettier than your neighbours’, then they’ll become green with envy. Plus you’ll be a lot fitter and healthier.
5. Hoarding Junk
Did you know that hoarding can become a psychological disorder? OK, I’m trying to scare you, but honestly – do you need all the old things you still have? That old phone, laptop, clothes, etc.? It’s so much better to turn the stuff you don’t need into cash. You can easily do it on sites like Gumtree, Music Magpie, or a local car boot sale.
So, are you guilty? I certainly am when it comes to not saving enough and keeping things I could sell. But I promise I’ll change that. Will you?