5 tips that could save you hundreds this year

7th February 2017

There’s still time to make saving money your New Year’s resolution!

At the start of a new year, we often feel like giving our lives a spring clean. That might involve anything from joining a gym (more on that below) to giving your finances an overhaul. The tips below will help get you off to a good start, whether you’re losing pounds in the fitness centre or adding pounds to your bank account!

• Change banks, earn cash!
• Cut unnecessary expenditure
• Pay down your debts
• Compare deals
• Use coupons and discounts

Change banks, earn cash!

You may have had the same bank account for 20 years, but a switch could give you an unexpected bonus. Some banks give away free cash when you switch current accounts. For example, HSBC is offering new customers £200 when they switch to its Advance current account, while The Co-Operative Bank is paying £110 and First Direct is offering £100, so keep an eye out.

Cut unnecessary expenditure

If you’re a gym member and never actually go, or have just signed up but had a change of heart, it might be time to quit while you’re ahead. The £30-40 you’ll save each month could be better spent elsewhere if the only thing you’re working out is the TV remote. After all, there are plenty of free ways to exercise. You may also have magazine subscriptions, be paying over the odds for haircuts or have a habit of eating lunch out every day. Small savings can really add up over the course of a year.

Pay down your debts

Christmas and New Year often cause people to start the year in the red. Work out exactly how much debt you have and which have the highest interest rates. Pay the minimum balance on all your loans and credit cards, but if you have any spare cash at the end of the month, focus on the high-interest debts first. It may even be worth transferring balances to a 0% balance transfer card, with some offering up to 43 months interest-free!

Compare deals

Whether your car insurance is due for renewal, your fixed-rate mortgage deal is coming to an end or your electricity bills are through the roof, it’s worth comparing deals online to make sure you aren’t spending over the odds for your services. It’s easy to find cheap deals by comparing like-for-like quotes and offers, but make sure you read any small print so you know exactly what you’re signing up for. You could save around £221 a year simply by switching energy suppliers, so it’s definitely worth shopping around.

Use coupons and discounts

There are plenty of discount websites out there, including Groupon, Living Social and Wowcher. From buying big ticket items to gifts and salon treatments, you could make significant savings using these sites. Loyalty points, such as Tesco Clubcard or Sainsbury’s Nectar points can also save you money on a regular basis. If you want to take things a step further, you could sign up to a cashback site which could earn you money on purchases ranging from new bank accounts, car insurance, gym membership, clothing and days out for the family!