Make Friends with Your Credit Card

The term ‘plastic friend’ does not refer to people who have been nipped and tucked to perfection, but it does describe a relationship that can prove costly if mistakes are made.

As with any real-life, flesh-and-blood friend, a credit card needs to be treated kindly if it is to provide help and support in times of need. More often than not, people who visit MoneySupermarket compare credit cards with the aim of ensuring that they find the plastic friend that best suits their requirements.

Pros

The benefits of relying on credit cards can be numerous, but only if spending is kept within sensible limits. One of the major advantages of using plastic instead of cash and cheques is convenience.

Carrying large amounts of cash, or waiting for cheques to clear or bounce, is neither as convenient nor safe for 21st-century consumers as using credit cards.

Shoppers can enter high-street stores, select the products they wish to purchase and breeze through checkout with a credit card, the security of which demands use of a four-digit PIN. Paying for items with cash usually takes much longer.

On the issue of security, credit cards are not invulnerable to theft or fraud but they are a relatively safe alternative to cash. Stolen money is extremely difficult to trace and recover, but credit-card fraud can be monitored electronically.

Criminals must also have access to the four-digit PIN to use a stolen credit card on the high street. This has been made significantly more difficult by the introduction of chip-and-PIN technology.

In terms of fraud protection, credit-card usage is constantly monitored by banks, lenders and service providers. Suspicious activity can result in an automatic block being placed on the card, while stolen cards can be cancelled (not to mention tracked) with just a phone call.

Another reason why credit cards are so beneficial is that they can help people who have had problems with debt in the past build a good credit rating. If repayments on a high-interest credit card are made on time without exception for at least one year, the borrower’s rating may increase enough to make him or her eligible for a card with lower APR.

Credit cards are accepted around the world, so travellers need not worry too much about converting currencies and carrying special cheques with them on holiday. Consumer laws in Europe and beyond also make it easy for shoppers to claim refunds on faulty products purchased with credit cards.

Cons

There are not too many disadvantages of using credit cards but those that do exist can be extremely serious. The most obvious problem is debt: people who rely too heavily on credit can suffer financially in the long term.

High interest rates on some cards can also mean that some customers are trapped by debts that they will never be able to repay. Some people struggle to meet the minimum monthly repayments on their credit cards, meaning that interest applied to the outstanding balance could keep the debt at a certain level for many months or years.

As with any form of credit, plastic should be given plenty of respect. It should not be abused. In the majority of cases, the disadvantages of credit cards can be overcome by sensible spending and careful account management.

Quick tips for saving money around the home

There are so many ways to save money around the home, especially when your bank balance is running a little low. So be sure to try a couple of these ideas to save yourself £100’s over the year.

Get creative with your cooking

If you are a little tight for the month, then be sure to get creative with your meal choices. We should realise that take-out food and lunchtime spending can be very expensive, so be sure to cook your own meals, and take them in to work with you for lunch the next day.

A spaghetti bolognese for example, can cost around £1.50 to £2 per portion and is an ideal meal to eat at lunch the next day, stopping you have to splurge on expensive sandwiches and meals. The same goes for making your own sandwiches, which can be a much cheaper option to take-out varieties.

Getting your supplies from discount shops

While supermarkets can be handy for day to day shopping, the inflated prices you will pay can add up to £100’s a year. Stop off at your local ‘pound shop’ if you are lucky to have one and you can commonly find household cleaning goods, food and supplies for much less than at the big chain supermarkets such as Tesco’s and Sainsbury’s.

I picked up a litre of bleach for 99p yesterday, whereas the same product in Sainsbury’s was £2.25 - those savings add up quickly!

The same goes for local market stalls, where vegtables and produce can often be much better value (and tastier) than the supermarket equivalent.

Home Insurance Renewal

In the UK, it is imperative you keep on top of your home insurance to get the best savings each year on this compulsory purchase. Check any of the comparison sites or individual or varying suppliers for renewing your house insurance, so you can be sure you get the best deal when it comes to renewing. There are plenty of online home insurance sites that you can use to do this.

Last time i renewed i saved £58 on my yearly quote, which is a considerable saving for an hour or two hunting around the web for quotes.

All three options are a simple yet effective way to save money over the year. So get to it!

Free Attraction Ideas for Families in London

So you want to enjoy time out and about with the family in London but you don’t know where to go? Don’t worry, we have you covered. Here are some great ideas on spending time with the family that won’t cost you a penny.

Museums

Museums, like the British Museum are free to get into and explore. Museums are great idea for families because they really ignite a sense of wonder and amazement in your children. The curators of this museum are some of the best in the world and as such, the museum is regarded one of the greatest in the world.

The Natural History Museum is free, as is the British Museum. There are also a number of others such as the Science Museum and the Museum of London that are great for a little culture.

Art Galleries

Art galleries are often free and can really make you see how people can be naturally talented in a number of different artistic styles. Many of the most famous artists in the world had a natural talent for painting or drawing from the very start. They shared with us their special talents in the form of paintings, drawings, and sculptures to display something truly special that everyone can enjoy.

The Tate Modern, The National Gallery and Tate Britain are three of the most visited free art galleries that you too can enjoy.

Gardens
Gardens are a great place to see some pretty flowers and wildlife that you might not get to see otherwise. You’ll be able to see how nature designed itself to intertwine with itself and create beautiful displays of roses, daffodils, daisies and more.

Some popular locations in central London include Kensington Roof Gardens, Brown Hart Gardens, Chelsea Physic Garden, and the Kew Gardens.

Learning about vegetable gardens and talking with the gardeners can give you great ideas on how to start your own garden and create food for your family that’s free of pesticides and harmful chemicals. Eating right is something you should have on your mind when thinking about your family. Such trips are fantastic for teaching your family about the virtues of a healthier lifestyle.

Parks

City parks and local parks are always free to get into and here’s the best part. Parks are a fantastic place to start an exercise regimen with your family that’s worth participating in. There are toe paths, jogging paths, and some of the most beautiful scenery to take in and enjoy.

There is also the relaxation factor to consider. Spreading out a blanket or laying in the leaves can be a thoroughly therapeutic experience for the whole family. Spending some quality time with the family can bring an end to stress and will show your family how much you care. Between work and the hustle bustle of housework, enjoying time in the park during the warmer months will really be a highlight of your week. Just make sure it’s warm and dry out.

Here are a few free parks you can visit: Regents Park, Green Park, St. James Park, The Royal Park of Greenwich, and Victoria Park. All fantastic places to visit.

Libraries

Libraries are also almost always free to browse and read from. Simply signing up for a library card for each member of your family will allow you to rent out a multitude of books and documents that can inspire, amaze, or help you improve your life.

The London Public Library is free and has a wide range of fiction and non-fiction books as well as audio titles to choose from. Just make sure you register a library card first in order to get the most out of it. For something even more awe-inspiring, be sure to visit The British Library.

Some Great Ways To Save Money Around The House

In our other blog posts we’ve covered some fantastic ways to save money to get yourself out of debt. In this post we’re going to be taking a look at even more ways to make your £’s go further. Let’s get right to it.

1. Use Liquid Dish Soap To Wash Laundry

You wouldn’t think it, but a cheap and effective way of washing your laundry may have escaped you. Simple liquid dish soap works well to wash laundry with, and it costs a fraction of what laundry detergent costs. It does just as good of a job in the washer.and it’s gentler on clothes! Expect to save a lot on your laundry from now on.

2. Plan Home Parties Instead Of Going Out On The Town

Planning home parties can be a fantastic way to celebrate on the weekends. Weekends for the great majority of people in the UK are usually spent either resting up or enjoying their money. You can do yourself a huge favor by planning home parties.

Ideas include lunches and dinner, watching a movie together, enjoying coffee, trying out new beverages, spending time with pets, and more. You could even try planning a work out session on the weekends. Invite a few of your closest friends over and try out the latest workout routine. Helping each other stretch is one of the greatest benefits to having people join you for working out.

Get creative! How about a home organisation party? Nothing could make a home party better than showing your closest friends something new you’ve learned. Sharing your knowledge about something and exchanging what you’ve learned between each other is a great centre point for a party. If you think organisation alone would get boring and quickly over with, then make a list of five or more subjects to make everyone come share what they’ve learned in life.

If that doesn’t tickle your fancy, what about a slow cooker party? Each person brings their own items to cook with and create a wonderful meal that can be enjoyed throughout the week. Instead of spending the time waiting for your food to cook, you can enjoy being close with your best friends! Watch a movie together, do whatever you like, and a wonderful amount of food will be ready by the time the night is out. Your guests can take it home and plan their next weeks meals around it.

3. Consider Where You Do Your Grocery Shopping

Are you being a smart shopper? Are you getting the best bang for your shopping budget? Supermarket stores vary a lot in how much they charge. In an effort to save the most money, plan the following money saving effort.Think aldi over tesco and you could save a fortune.

First, make a list of each supermarket or local store in your area that you think might have a better deal than the one you currently shop at. Then make a second list of 30 of the items you buy most frequently. Now you’re ready to make one shopping trip to each of the new stores. It would be a great idea to have sectioned spaces next to each of the items on your list and fill in the prices each new store offers.

After adding up the total for how much it will cost to shop at each grocery store in total, you’ll be able to decide what store will give you the best deal. Don’t forget to factor in the cost of petrol money and wear/tear on your vehicle. Good luck to you in finding the store with the best overall cost savings!

4. Save Money On Rent With A Lodger

Lodgers are a great way to save money! Not only do lodgers pay their share of the rent, they can also look after the property while you’re away for pleasure or business. These days it’s very dangerous to be trusting of strangers. In order to find the perfect lodger for you, be diligent about screening your lodgers for criminal history, who they’re employed by, any debt they may have, and references. People can come with any number of negative things to bring to your home and it’s your job as the head of the household to avoid these bad people before they have a chance to become a lodger.

If they have a criminal record, just say no! If they have an insurmountable amount of debt to their name, just say no! If they don’t have a job, forget them entirely. These three rules of thumb should keep you safe and on your way to finding a suitable lodger. When times get rough for you financially, at least you’ll be able to rely on the lodger and the new money they bring to fulfill their end of the agreement.

Until next time folks - hopefully this has been helpful to you all!

Using A Programmable Thermostat To Be Cost Efficient

Programmable thermostats can do you a lot of good in the effort to save money. One of the best parts about a programmable thermostat is that you get used to the settings. It won’t be easy to sacrifice a bit of comfort at first, but as the months go by, you’ll find yourself more at home and in comfort with the temperature change.

Most people don’t need such a warm environment when they sleep, so they set their programmable thermostat down ten degrees (or even more) to save on heating costs. This works wonderfully well to save a ton of money on heating costs per year. You’ll have to make trial runs to see what temperature you can bear comfortably to get the most out of your programmable thermostat.

How much does a programmable thermostat cost in the United Kingdom? Honeywell makes a great unit for £70.95. A great Heatmiser unit is listed at £58.70. This should give you an idea of just how cheap it is to get one of these for your home. In just a years time you will have recouped the savings in energy costs alone. Additions to your home like these also increases the resale value of your home. Not much, but enough to cover its cost, that’s for sure.

The Hold/Permanent/Vacation features should not be used in the day to day function of your programmable thermostat. Avoid using these settings during normal days and nights. Holding, or overriding, the preprogrammed heating function will cause the cost of heating your house to rise. Find a set temperature that you’re comfortable with and set it to the lowest possible temperature you’re comfortable with during sleep hours. While you’re away at work, the house will heat up for your arrival at home. Then, when evening turns to night again, the temperature of the house will go down, leaving you with a substantial savings over the cost of a manual thermostat.

Also dont forget to turn off your heating almost entirely during warmer months - just throw on a jumper if you get a little cold and see the savings roll in !

Ways To Save Money Around The House - Part 2

Welcome to the second installment of the ‘Ways to save money around the house’ series!

Saving money around the house takes some strategy. It isn’t all so simple as people make it out to be. Together with the information in our articles, you’ll be able to make a substantial dent in your debt problem and maybe even lay those problems to rest for good.

1. Energy Saving Light Bulbs

You may not have been aware of it, but traditional light bulbs are a huge waste of money. They make you spend more than you normally would to light your house. Let’s look at the cost of a traditional light bulb VS. the more efficient energy saving models. You’ll find that even something as small as light bulbs can be effective means to save money in order to invest or pay off bills.

Traditional Incandescent Light Bulb:

Cost of electricity: 11.5 pence per kWhr

6 bulbs X 100 Watts per bulb X 8 hours per day

This comes to 4.8 kWhr total energy usage per day X 30 days = 144 kWhr of energy usage per month.

11.5 pence per kWhr X 144 kWhr of energy usage per month = £16.56 per month in energy cost from light bulbs alone!

On a yearly basis, this will cost you 1728 kWhr X 11.5 pence per kWhr for a total of £198.72 for a yearly cost.

Traditional incandescent light bulbs are being phased out by governments all over the world. They use too much energy and can possibly be dangerous. The UK is set to do away with using incandescent light bulbs altogether and has already started phasing them out since 2009. Using these bulbs will not help your debt situation at all, but there is hope! Let’s take a look at one of the more common energy saving bulbs and see how the savings stack up.

Common Energy Saving Light Bulb

Cost of electricity: 11.5 pence per kWhr

6 bulbs X 20 Watts per bulb X 8 hours per day

This comes to .96 kWhr total energy usage per day X 30 days = 28.8 kWhr of energy usage per month.

11.5 pence per kWhr X 28.8 kWhr of energy usage per month = £3.31 per month in energy cost using the more efficient bulbs.

On a yearly basis, this will cost you  £39.72 in total energy usage!

So lets compare the two! With a traditional light bulb you’ll be spending £198.72 for a yearly cost. With a set of energy saving light bulbs you’ll be able to reduce that cost by an incredible £159! You’ll only have to pay £39.72 as long as your electricity costs 11.5 pence per kWhr. Plug in the correct figure for what you’re paying, the correct amount of light bulbs, and how long you use them per day using the above calculation method to reach your households energy usage for light bulbs per day, month, and year.

Exciting isn’t it? Look at how much money you’ll be saving simply by screwing in a common energy saving light bulb! It’s really incredible to know that anyone can do this in every household. All across the United Kingdom electricity bills we be lower than they’ve ever been before. The phasing out of the incandescent light bulb is one of the new innovations the United Kingdom is using to help people with their debt problems.

Ways To Save Money Around The House - Part 1

We have tons of ways to save money around your flat, house, or residence in general. Check out money saving tips and rejoice! You can use these tips to help remedy your debt problems for good.

1. Electric Blankets - You should have one of these for every household member you have. Electric blankets can save you lots on the cost of your heating bill. To help you figure the cost of using the blanket, they use roughly 60-100 watts every hour. Multiply the amount of hours you’re going to be using the blanket per day by 60-100 watts. The wattage will vary depending on the heat setting you use. 75 watts per hour is a safe estimate. Divide the total number of wattage you use per day by 1,000 to realize how many kilowatt hours of energy you’ll be using each day you use the blanket. Then you’ll be able to calculate the seasonal costs of using the blanket through experience.

Tip: Wrap the electric blanket in an additional blanket to retain the warmth. Regular blanket on top, electric blanket underneath.

The savings accumulate because most people use their electric blankets during sleep hours. For the UK citizen, that’s a full 8 hours of savings over the cost of heating the house full blast at night. Many people turn their thermostat completely off during the night time because they are warm with their electric blanket. They don’t even notice the difference. Most people would agree that getting up to go to the restroom in a cold house is worth being a little chilly if you save hundreds of pounds per year on your heating bill. Even if you aren’t willing to turn your thermostat completely off, even reducing the thermostat by 10 degrees at night can yield a substantial savings. The best thing you can do is figure how many kilowatt hours of electricity you use with the electric blanket per night, month, and year.

Write that kilowatt hour figure down.

The cost savings of not using central heating at night so much because you’re using the electric blanket is substantial.

Calculate the actual cost the furnace usage is running you at the reduced usage amount and compare that to running the furnace the way you would normally.

Based on your monthly calculation, you’ll be able to see how much using the electric blanket is saving you.

2. Ginger Instead of Medication For Inflammation And Sore Muscles

NB: I am not a doctor, so do seek medical advice before doing anything that may impact on your health. These tips are for reference only.

Ginger is a wonder root for inflammation. Whenever your muscles feel tired and run down, you may run to the medicine chest for your favorite pharmacy cure. Don’t do it! Ginger is MUCH cheaper and more effective. So how do you use it properly? Ground ginger works wonderfully well when rubbed into sore muscles. Make the ground ginger into a thick paste with some water and rub it into a sore neck. Then wrap your neck in a wet wash cloth to keep the ginger “activated”. Otherwise it will dry up quickly and not work well. We don’t recommend it for the groin area. That’s just too sensitive of an area to use ginger on. You’ve been warned on that.

A second way to use ginger is also easy. First buy some powdered ginger from a good supplier online. Turn a long sleeve shirt inside out, wet it with hot water, wring it out, then sprinkle enough ginger to moderately dust the whole inside of the long sleeve shirt, front and back, and dust the front and back of the arms as well. Turn the long sleeve shirt from inside out to normal and put it on. You should have a jacket you don’t care much about that retains warmth well to wear over the top of the wet shirt. This will allow the ginger to work with the water in the shirt as it’s pressed to your skin to reduce inflammation. The jacket will keep the otherwise wet and cool shirt warm and to your body. You’ll be amazed at how cheap this is and how much money you’ll save over the cost of anti-inflammatory medications. It’s truly a wonder cure of natural medicine.

More money saving tips around the home to follow tomorrow.

Some Simple Debt Management Tips for Christmas

While it is exciting to watch as someone opens an expensive gift from you, the excitement dies quickly when the bill comes due. Christmas has gotten out of hand. There is no need to spend £100 on each person you buy presents. Instead of going into debt this year, try a few of these
tips.

1. Make your own presents. You do not need to be an artistic genius. Homemade gifts come from the heart and will be cherished much longer than anything you could buy. Set aside a couple of days and make sweets and cookies to give to friends.

2. Set limits on the amount everyone spends. Talk with your family and set a limit for the amount to be spent on each gift. Fifteen pounds is a reasonable amount for a gift.

3. Draw names from a hat. Instead of buying a gift for each and every person in yourfamily, have everyone draw a name from a hat and only buy for that person.

4. Impress upon your children that Christmas is not all about the presents, but about spending time with those you love.

5. When buying for your children, Santa only needs to buy one special gift for each child. A few small, inexpensive gifts can be added to the special one. Again, set your limit, and stick to it.

6. Plan ahead for next year. Start a Christmas savings account. Put £10 in the account
every week. By the time next year rolls around you will have the money you want to
spend and will not need to charge anything.

7. When using your credit cards for Christmas, only spend what you know you will
pay off in the next month. Do not get any new cards and charge them to the limit. If you
cannot pay it off in one month, it is too much.

It is hard to change everyone’s expectations, but it is time to start. Take the commercialism out of the holidays. Spend time together playing a few games, what you get out of an evening with family can never be replaced. If you instil this in your children while they are young when they are older they will keep themselves out of debt by knowing the Christmas is about giving vs. receiving. But, at the same time they will also know that they do not have to go broke in the process while trying to please others.

Top Money Management Tools to Help Manage your Debt

Debt can be confusing. You borrow a certain amount of money, but then have to pay back much more. Interest may be calculated annually or monthly. In most loans, you are paying off any interest first, and then anything left comes off the principle. If you want to figure what the best way to pay off a debt is, or how long it will take you to pay of a credit card if you only pay the minimum payment, there are tools to help you. Below, you can find some of the different tools that are available which have proven to be rather useful to other individuals like yourself.

1. Credit Card Pay-Off Calculator - This tool will give you an amortization schedule. You can figure how long it will take you to pay off your card if you keep the same payment monthly. You can use this to see how much interest you can save if you pay just a bit more each month, taking it right from the balance due.

2. Citizens Advice Bureau - The CAB has people who will sit and help you with a number of problems. The can help you to sort out your debt and determine which needs to be paid urgently. You will learn how to talk to your creditors to have them lower your payments or interest.

3. Credit Consolidation Companies – These companies talk to your creditors for you, making arrangements for a lower pay –off by eliminating late fees and high interest charges. They will lump your debt into one loan and have you pay it off that way.

4. Personal Finance Software – If you can see exactly where your money is going, you can take charge of it. Often the problem lies with the little things we forget about. You may not realize how much you are spending on fast food because you only ever spend £1 at a time. Over the course of a month, it all adds up. Using software that tracks your every expense may be your first step towards financial stability.

5. Budgeting software - Once you understand how you spend your money, take charge and budget your spending. Be sure to stick to the budget by using a variety of limits and tracking to keep your spending in check.

Taking charge of your finances may hurt at the start, but in the end, you will be much better prepared for the little emergencies that crop up.

Goal Setting: The Key to a Successful Budget

The first thing you are told by most people is that to get your finances under control you need to draw up a budget that you will stick to. A budget is a critical tool to getting your finances under control but it is only a tool. If you don’t have a goal that drives you no matter how many budgets you draw up you will never stick to them.

If you are only drawing up a budget because you have a vague notion that you want to spend less than you earn, you may have fun creating it but as soon as you are finished it will slip to the back of your mind. However, if you have a driving need to pay off all your debts because you want to be free or you want to buy a home or to achieve any other goal that is extremely important to you then sticking to your budget will be incredibly easy.

So, the first step to getting your finances under control is finding that goal that drives you, that makes you want to push yourself further than you thought possible. And don’t just keep it in your head, write it down and put it in a place where you can see it every day. If it’s something you want to buy, such as a car or a home, then print a picture out and put it in a visible place as it will serve as a reminder and you won’t fall back into your previous habits of spending without thinking. Alternatively, buy 24 hour car insurance and take your dream motor out for a spin - it might help you appreciate the feeling you will get when you finally save up enough for your desired car.

Many people spend money to fill some emotional need, whether out of boredom, the need for variety in their lives or to even loneliness. The best way to overcome these issues is to have a goal, a higher purpose in life than just going down to the shops to buy something you don’t need. If you have a goal to buy a car then every time you walk into a shop you will question yourself ten times before buying something as you will be focusing on buying the car and every pound you save can get you closer to that goal.

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