We’ve all heard of saving for a rainy day – and many of us will have tried to do it, with varying degrees of success. The current financial climate means that it’s never been more important to have a financial safety net in place, but it’s also never been more difficult to save money.
With this in mind, it’s clear that many people need to adopt a more measured approach to saving, something that factors in the rising cost of living and poor returns of interest on many savings accounts.
From switching savings accounts to getting a better deal through credit card comparison, here’s some of our top tips for preparing your financial umbrella for that rainy day:
1. Shop around with your savings
With many savings options offering poor rates of interest, it’s important to look at other aspects of accounts. For example, some banks offer a service where everything you spend is rounded up to the nearest pound, with the difference automatically deposited into a nominated savings account. However, this will only be worthwhile if the extra spending doesn’t tip you into your overdraft, potentially racking up more charges than the interest you’ll earn.