Saving money can be difficult, especially without a solid plan. Fortunately, there are many strategies out there that can easily save you more money. (iStock)
The coronavirus pandemic is weighing on the personal finances of millions of Americans, especially those who pay off debts, save for retirement, and struggle to save money. Given the ongoing economic uncertainty, it is not surprising that many American men and women are looking for more effective ways and simple tips to save money and secure their financial futures.
If you’re interested in quick and easy ways to save, you should visit Credible to find a high-yielding savings option that best suits your goals.
Do you find it difficult to regularly save part of your income? You’re not alone. Fortunately, there are many different money saving strategies and tips that you can use now to save money without adding any additional strain to your finances, including:
- Make your savings automatic.
- Opening a high-yield savings account.
- Save extra income.
- Refinance Your Debt.
4 MONEY STRATEGIES TO IMPROVE YOUR FINANCE
1. Save automatically (via direct deposit).
While manual deposits into your savings account can be effective, automated direct deposits have the potential to increase your balance more consistently. Set up a portion of your paycheck that will be automatically deposited into your savings account during each pay period to work towards your financial success.
This hassle-free saving strategy through digital banking is one of the easiest ways to save and ensures that you regularly save a predetermined amount and avoid the temptation to spend money on your savings account.
2. Open a high yield savings account (as opposed to a traditional one).
The first step in successfully building a savings fund is opening your own savings account. The second step is to make sure that your savings account is giving you the maximum returns available. Instead of opening a simple savings account, consider opening a high-yield savings account that will build wealth. These FDIC-insured accounts usually offer significantly higher interest rates than the basic account or a checking account, even if the high interest rates are low.
Unlike certificates of deposit or IRAs, you can also withdraw money from a high-yield savings account several times a month without penalty. Best of all, most financial institutions allow you to open a high yield savings account with no minimum balance or account activation fee.
HOW TO PLAN UNEXPECTED COSTS – AND SAVE EVEN – WITH A LOW BUDGET
Would you like to see the current interest rates for high-interest savings accounts or learn more about the advantages of this savings strategy? Discover today how you can make more money with high-yielding savings options through Credible.
3. Save / do not spend extra money (such as income tax returns).
Creating a budget is a great way to responsibly map how your paycheck is being saved or spent. While any additional income you receive is beneficial, these various funds can actually be more difficult to save. Inconsistent income such as tax returns, work bonuses, stimulus checks and freelance income should ideally be deposited directly into a savings account. By putting the money in a savings account straight away, you resist the temptation to spend it – be it on your cell phone bill, at the grocery store, or on your electricity bill – and give your savings an unexpected boost.
4. Refinance debt to free up cash.
Unfortunately, paying off debts at high interest rates can drive up your spending unnecessarily and limit your savings potential if your budget is tight. Fortunately, there is one option that will help you manage your debt responsibly while putting more money into your savings fund: refinancing. You may be eligible for a lower interest rate on outstanding debts such as your student loans, a personal loan, a car loan, other loan payments, and home mortgages.
HOW DO I BUILD AN EMERGENCY FUND?
A lower interest rate enables you to further reduce your existing debts and to transfer the alleged interest expenses to your savings account. Put simply, it’s the difference between saving and spending a dollar: either amount can add up quickly, but only one will help secure your financial future.
Interested in Refinancing Your Student Loans or Mortgage Loans to Save Extra Money? Visit the Credible Marketplace today to see all of your refinancing options.
The bottom line
The coronavirus pandemic has certainly left the U.S. economy in disarray, which has only made it harder for people to put large amounts of money in their savings accounts and achieve financial health. No matter how positively or negatively the economy is impacted as it enters a post-pandemic future, there is no denying that a dedicated savings account will help you achieve your financial goals better, be it saving for emergency funds, retirement plans, or even to pay off credit card debt.
Refinancing your outstanding student loans or mortgage debt, setting up direct deposits, and managing your extra income are effective strategies for increasing your savings bank balance. Regardless of how much money goes into your savings fund, be sure to maximize your interest potential by researching high-yielding savings options.
HOW TO MANAGE DEBT BEFORE RETIREMENT
High yield savings accounts have helped many men and women maximize the potential for their savings goals, whether it be saving for college, retirement planning, reducing debt, or buying a home. Visit Credible today to find a high-yielding savings option that will help you meet your unique financial goals.
Do you have a finance-related question but don’t know who to contact? Email the Credible Money Expert at moneyexpert@credible.com and your question could be answered by Credible in our Money Expert column.
source https://collegeeducationnewsllc.com/having-trouble-saving-money-these-strategies-can-help/
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