It’s been a while since I posted anything for the ‘grown up’ series as I’ve just been really busy and have a lot of 'stuff' going on (life always gets in the way eh?)
I hope you’ve all enjoyed the posts so far, today I’m going to talk to you about
You may be thinking, ‘but why would I need to save any money?’ how about for the following things:
- A lovely holiday
- New furniture, a posh new TV and general ‘home improvements’
- A deposit on a house/for a mortgage
- For a new car
- In case of an emergency! home insurance is all good and well but it’s worth putting some money away so that you’ll be able to cover your excess should anything happen
- An extravagant treat for yourself (that Mulberry handbag you've been eyeing up?)
There are loads of reasons to have savings and you accrue interest on your savings which is essentially free money! This can either be paid monthly or yearly depending on how you want to ‘grow your money’ and anything over 3% at the moment is amazing (recession and economic downturns mean that interest rates get really, really low!). If this is something you don’t know much about, it essentially means that if you save £1000 you will get 3% interest on that money over a year which is £30. That may not seem like a lot of money but remember, the more you save the more money you’ll get in interest! With internet banking becoming the norm these days it’s also good to know that you can save online, making quick and easy transfers from you current account to your savings account and simplifying the whole process!
One of the best things about fixed term savings accounts is that once your money is in them and you’ve agree a time period (1, 2 or 3 years most of the time) you can’t close the account early or access your money so there is no temptation to dip into your savings like you would if they were in a box in your room, or in another standard current account :)
I personally try to put a bit away every month just because in the future Stew and I are looking to own our own house and we need to save up for a deposit and everything :)
It’s definitely scary but I’d rather start preparing for it now! To fail to prepare is to prepare to fail remember!
Do you currently have any savings? Is it something you’ve thought about? Don’t forget to tell me all about it in the comments and tell me if the ‘grown up’ series has been useful for you so far!!