Tips for taking control of your finances
During times of uncertainty, many of us will want to tighten our belts and keep a close eye on what we’re spending. Some things will be easier to control than others. But there may be small savings that could be made across the board, which could add up to a large amount.
We spoke to one of our Senior Equity Release Advisors, Andrew Morris, to see if he had any top tips that he could share for making our money go further. Andrew started by saying; “As part of the advice that I give to my clients I ask them to consider options for saving money and alternative ways that they could raise the income that they need. No one thing will be right for everyone, but there are many things that we can consider when looking to make our money go further.”
Below are 9 options that you could consider to make your money go further.
1Look at fixed outgoings such as Direct Debits
Can they switch to cheaper providers for utilities, car insurance etc.
2Look at variable outgoings such as card transactions
Cut down on luxuries and look at cheaper options when shopping for essentials such as food/petrol
3Take in a lodger
This will increase income and can help to reduce outgoings if sharing the bills, but this may not be viable during the current lockdown.
4Look at unsecured lending
- ●Switching credit cards to zero percent cards to reduce payments
- ●Restructuring loans to lower interest rates or over a longer period of time so paying out less each month
Restructuring mortgage to a lower interest rate or over a longer period of time so paying out less each month
- ●Look to see if entitled to any
- ●See if there may be grants available for certain home improvements such as boilers
Can these be accessed to provide lump sums or to increase monthly income. We would always recommend that you take advice to find out if accessing your pension is the right thing for you, but this is even more crucial during the current economic climate.
Can family or friends help out with a soft loan or a financial gift?
9If you’re looking to for more money, you could consider equity release.
- ●If you’re a homeowner aged 55 or over you may be able to release some tax-free cash from your home with equity release.
- ●There is a lot to consider with this option, as it’s a lifelong commitment. Many equity release advisors offer a free guide to the product so you can find out if this may be an option for you.
Click here to calculate how much equity you may be able to release and to request your free guide.
Things to consider…
Equity release requires paying off any existing mortgage. Any money released, plus accrued interest to be repaid upon death, or moving into long-term care.
Equity release may involve a lifetime mortgage which is secured against your property. To understand the features and risks, ask for a personalised illustration.