Ricochet News

DebtSafe encourages consumers to take control over their finances

By Supplied - Sep 8, 2015
DebtSafe encourages consumers to take control over their finances

Are you one of the many individuals who starts dieting frantically when summer arrives and then… lo and behold! After two weeks you give up because it is too difficult to maintain? This scenario is applicable to your finances and spending habits as well. Your financial plan must be sustainable and relative easy to live with…

 DebtSafe, South Africa’s most trusted debt review company, is urging consumers to make healthy spending and saving habits sustainable so that it is easy enough to carry on with their lives.

In a recent survey about people’s spending and saving habits, 76% participants indicated that they do not have a savings plan. This is mainly due to the fact that living expenses increase and salaries stay the same.

 The annual DebtSafe Spending Freeze Challenge is currently running. During the first two weeks consumers are advised to stay out of the shops and to take a close look at their finances to see where they can cut back.

 Start with the basics…

 Write down every cent that you spend on a piece of paper, then add all these expenses at the end of the month. You will be shocked what your non-essential expenditures really are.

 One very easy way to cut costs is to refrain from going to the movies. “If a family of four goes to the movies the average total amounts to R550 (tickets, popcorn and cold drinks included).

Rather spend an evening at home and kindle family relationships,” says Wikus Olivier, Debt Management Expert at DebtSafe. “If you really want to save money at the end of the month, take control over your budget and stop spending hard earned money on things you can’t afford.”

 You and your partner have to agree what items are essential and which ones are non-essential. You will be amazed at how much your perspective can change when you realised what you can really live without!

 Put down the plastic!

Don’t use your credit card when purchasing things that you can’t pay off in full at the end of the month. Interest rates for credit cards are extremely high.

 The best method to pay for stuff is cash. “Here is another idea to force you to save money… when you buy something relatively expensive, match it with cash and put it in a jar. If you can’t match it with cash, you can’t afford it!” Olivier adds.

Another great way to save money before the holidays, is to set aside R10 or R20 per week. This amount will add up and you will be able to even pay for your fuel in the holiday or to buy Christmas presents.”