Top 10 Budgeting Tips To Control Debt

1. Before you go shopping, write a list… and if it’s not on the list, don’t buy it!
2. Keep all shopping receipts over a few weeks and work out an average of your spending, as it is unlikely that you will spend exactly the same amount each week.
3. Keep a notebook and jot down each and every item you buy each day.  Eg. Make sure you include your take away coffee, the sandwich at lunch and the afternoon chocolate treat!
4. Assess your real necessities and cut out luxury items until your debt in back in control.  For example:  pay TV, socialising, and adding to your wardrobe are considered luxury items.
5. Credit card debt:  Do you have more than one credit card?  If so, you are paying more than one interest rate.  If you must have a credit card, limit yourself to one card only and shop around for low rate or interest-free-period cards.  This includes store cards!  Consider a switch to a debit card completely and shop with your own money.
6. Try to clear the balance of your credit card each month to avoid interest.  If you can’t clear the balance, try to pay more than the minimum payment to limit the interest charged each month.
7. Loans and other credit:  If you are juggling various credit facilities you are also paying more than one interest rate. Try to roll them together into one loan and thus one manageable repayment.
8. Set out your household budget and stick to it!  Don’t forget to include insurances, utilities and hire purchase payments.
9. Car loans:  Consider whether you need to have an asset which is depreciating in value faster than the loan you are repaying.  Perhaps downsizing is the answer?
10. Don’t be afraid to ask for help before it’s too late!  If you have attempted loan consolidation and spoken with your creditors, there are still other debt solutions to be explored.