Tips For Surviving The Credit Crunch

Although it has been a hard slog for some of us the credit crunch is not over yet. There are many ways to help your finances through troubled times according to a recent report.

For people who are concerned about how they will manage financially if the economic downturn in the UK persists, a leading financial research analyst company has provided some tips of surviving the credit crunch.

Budget

First of all the group claims it is essential to budget. It suggests setting aside a minimum of one hour a week to plan money matters. Keep a weekly diary of what you spend, and what you spend it on. You will be amazed when you realise where all your money is going. Prioritise your spending and identify all non-essential expenditure. Restrict your non-essential spending.

"Why not cancel the gym membership and buy a bike and cycle to work?" it asks.

Take sandwiches to the office rather than going to a sandwich shop. Don't buy coffee in expensive coffee shops. Read your news online rather than buying newspapers. Now is the time to cut back on alcohol and stop smoking, saving you money and keeping you healthier.

Savings

The company also encourages people to maximise their savings. It claims even putting aside a small amount of money on a regular basis is worthwhile. If you do have savings make sure you are getting the best savings rates. Use comparison websites to find the best home for your money. Check the small print before you invest. Many accounts have withdrawal restrictions or penalties so make sure that you're happy that the details suit your circumstances.

Go Online

Even if you cut back on spending there will still be things you need to buy, so why not make the web work for you. Comparing deals online is another way people can make significant savings, it adds.

If you would like to know more about money matters why not ask AnswerBank Business and Finance.