Finance Fox

Finances

5 Ways to Improve Your Personal Finances

December 24, 2014 by lucas in Finances, Tips

Boosting personal income is a must. But, many of us don’t want to live in the workplace in order to secure more money. With this in mind, you need to consider some savvy ways of boosting your personal finances without working an 80-hour week. Yes, really. This can be done.

If you are savvy with your cash, you can ensure that you are sitting pretty. You may not have a bulging bank balance, but you can make sure that you are more comfortable with your finances.

Let’s take a look.

1.    Check to See If You Are Owed Money

Okay, so digging through a pile of IOUs may not be the most efficient way of seeing if you are owed cash. But, if you have taken out a loan in the last decade, you may have also taken out a PPI policy. Many of the high street banks, including Lloyds PPI, offered this policy. But, for many, it was worthless. So, dig around in your financial paperwork and boost your coffers.  You may be sitting on a small fortune.

2.    Budget!

One of the easiest ways to boost your personal finances is to ensure that you are planning. Stringent budgeting need not be a difficult task. You can use apps, spreadsheets or pen and paper. Make sure that you document all expenses. But, also factor in what you save too. Once you have ascertained how you spend money, you can start cutting back on unnecessary purchases.

3.    Check Your Credit Score

Paying your bills on time is fundamental to ensuring that you are in a good financial place. But, do make sure that you are checking your credit score. Did you know that over half of the credit reports contain mistakes? This can seriously harm your chances of getting credit in the future. Check your score and make sure that you have a clean bill of financial health. If you don’t think that you are in a safe place, start making positive steps to improve your credit rating. This is a great way of making sure that your personal finances are in an excellent place.

4.    Consider Your Debts

It’s time to be a grown-up and assess your debts. Many people are not keen to do this. But, taking a proactive stance when it comes to debt management ensures that you are in a great place financially. After all, you don’t want to be at the behest of creditors and debt collection agencies. Make sure that you are financially viable and start paying off your debts. Even a small amount now can make a big difference in the future.

4105722502_a442444bb9_z

Alan Cleaver

5.    Make Financial Goals

Financial goals are an excellent way of ensuring that you remain on track with your money. Make small goals throughout the year. For example, in 6 months, ensure that your overdraft is paid off. Making small, workable goals is the best way to improve your personal financial situation. What is more, you will feel a sense of accomplishment when you achieve them.