These are some simple tips to saving money.

Lose The phobia of Money and Finance.

Unless we have a degree in finance or economics we tend to feel inadequate to deal with the ‘complex’ financial issues. This can create an attitude where we try to avoid money issues and take the easiest path. However, if we spend a little time getting to know the issues at stake, we will find that we can save ourselves a lot of money. Some of the savings we can make, merely require a little common sense and very basic understanding of the financial system.

Be a Better Shopper.

There is every incentive to encourage us to buy more than we need. We need to watch out for these tactics, and become disciplined so we make the best use of our money and avoid unnecessary impulse buying. Being a better shopper, doesn’t mean we become overly frugal, only shopping at 50 cent shops. It means we spend on what we really want and need and not fritter money on unnecessary services.

Be A Smart Buyer

When we go to the supermarket we look for the best value brands. When buying petrol, we will try hard to get the petrol station with the lowest price. But, when it comes to financial products (which account for a much bigger % of our income) we often don’t bother to look around. We accept our existing suppliers and throw away the potential for making real savings, which dwarf any other gains in our regular grocery shopping.

Know The Tricks of the Big Companies

Companies have many strategies for making profit out of consumers. That is their whole purpose. If we know how they can extract profit from consumers we can avoid falling into these traps and save money. For example, a very common strategy is for banks to attract us with high interest rates on savings account; when they have attracted our custom, they later cut interest rates quietly – hoping that we won’t notice, or at least won’t bother to change accounts. Then they can make high profits on the lower interest rate they are paying us. What we need to do is be aware of these tricks and be willing to move our account, when the introductory period ends. This same principle of hooking customers in, is equally applicable to many financial instruments.

Haggling.

Haggling doesn’t come easy to be. English reserve makes us feel it is rather undignifed to ask for a lower price. But, if you can overcome these inhibitions, you realise that the price often stated is merely a guide price. In the right circumstances we can make big savings, especially on goods which are on special offer or sale.

Claiming Money Back

Often we have trust that charges and fees are correct. However, big companies can make mistakes; many bank charges have been declared excessive and there is scope for claiming back money on these. Even if we make a mistake such as missing a payment, it is always worth writing to the bank asking if they will reconsider and not charge you this time. The important thing is that communication with your bank, financial provider is always beneficial.

Avoid ‘Poor Me Syndrome’

It is easy to get into debt and see it spiral out of control. however, we need to take responsibility for our financial situation and make positive steps to overcoming our current weakness. A negative attitude is never conducive to improving our financial situation. Stop feeling sorry for yourself and do what you can given your current circumstances.