How to save £2,014 in 2014
Follow these tips and you'll soon be counting the cash you've saved in 2014!
A New Year means resolutions for many of us. How about you resolve to save some serious money in 2014? Start by having a read of these tips, which we reckon could save the average person at least £2,014. You might be able to save even more...
Shift your credit card debt
With the average credit card interest rate at 17.5%, according to The Money Charity, if you have a big chunk of that debt on your credit card it can be seriously painful.
Research from Aviva found the average credit card debt is now £2,006. If you transferred that amount of debt onto the top balance transfer credit card from Barclaycard, the 29-month Platinum Visa, which offers 0% on transfers for over two and a half years, you'd only need to pay £69.17 a month to wipe out the debt for good. You would have to pay a balance transfer fee of 2.79% of the debt you're shifting, which would cost you £55.97. However, it would save you £501 of interest compared to paying it off at 17.5% interest.
Total money saved: £501
Remortgage
Sitting on your lender’s standard variable rate (SVR) has been a smart move for many borrowers in recent years, with the SVR smaller than many of the top mortgage rates. However many fixed rate mortgage rates are now cheaper
In fact, mortgage broker John Charcol reckons many people on SVRs could save by switching to a fixed deal. In fact, a borrower with a £200,000 mortgage on a 4% SVR could save £625 a year by switching to a 3% deal.
You can compare the best mortgages for your own situation by making use of the lovemoney.com mortgage tool.
Total money saved: £1,126
Switch your energy tariff
Energy costs have been high up the news agenda in recent months, with the majority of providers announcing price hikes.
The best way to combat this is to regularly shop around for a new deal, to ensure you are paying as little as possible.
Users of the lovemoney.com energy switching tool save an average of between £160 and £200 as a result of switching.
Total money saved: £1,326
Shop around for your cover
Which? says shopping around for car insurance can save you up to 18%, which with the average cost of comprehensive cover now at £568.32 is worth up to £102.
Meanwhile, the Association of British Insurers says that the average home insurance policy costs £310, but the average shoparound policy can cut that to £240 – a saving of £70.
And Sainsbury's Bank estimates that shopping around for a joint life insurance and critical illness policy can save £200 a year.
Total money saved: £1,698
See if you can save on your car, home and life insurance
Get a water meter
Having an accurate reading of how much water you're using via a water meter could save you around £100 a year.
Total money saved: £1,798
Broadband
Broadband comparison site broadbandchoices.co.uk estimates that over a third (39%) of people have not switched broadband provider in four years, potentially missing out on an average saving of £70.
Total money saved: £1,868
Compare broadband prices with broadbandchoices.co.uk
Be a smarter driver
Whatever you drive, money-saving tips such as shopping around for fuel using Petrolprices.com, minimising the weight your vehicle's carrying, driving smoothly and performing basic maintenance such as checking tyre pressure and oil levels should shave at least £146 off what you otherwise would have spent.
Total money saved: £2,014
There you have it: £2,014 saved in 2014. And that’s before we even look at cutting the cost of your food shopping, your gardening, going out, even the cost of getting your hair cut!
How are you planning to save in 2014? Let us know in the Comments box below.
More on money saving tips:
How to save money on your food shopping
How to cut the cost of your cinema tickets
How to furnish your home for less
How to watch free movies legally online
How to cut the cost of theatre tickets
Seven cheap ways to make your own clothes
Cheap gardening tips for beginners
How to cut the cost of your haircut
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Comments
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Centrum46 Do you actually know any elderly people? I am 73 and can remember a childhood that was devoid of any luxuries! I have always lived using the maxim ..If I cannot afford something I do not need it! I save for any luxuries instead of borrowing to buy them. I also taught my daughters the difference between needing something and wanting things. They are both debt free and have never had credit cards. We would be in a different position nationally if young people applied common sense to their financial affairs.
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Wrong, centrum46! Para 1. I find your comments somewhat patronising and ill-informed - believe me, it is the elderly who DO know about how to budget, by knowing the value of things, by having lived through austerity of the meanest sort and by not needing all the razzmatazz indulged in by the youth and the rest to follow fashionable trends in 'having things'. They are less likely to have ideas above their station and push their finances to look good with the latest cars/gizmos and consumerism is just not their thing for the most part. Para 2. Not sure what you mean here - are you talking about the elderly again, or humanity as a whole. Moreover, who are you to stand in judgement? Para 3. Meanderings in various vague and unrelated areas. Para 4. What does this relate to - who is out of touch?
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Whilst agreeing with the comments of the above contributors to a great extent there is always the timely reminder of how you could save if you are not already doing so. There are many people in this country, particularly the elderly, who are not good with money and don't know how to budget properly. When you cannot grasp the nettle some turn away from the subject and try to ignore the ensuing problems. It is an art/skill that some have and others don't.These are the people who would find such an article rewarding if they were able to take on board the principles. The country is now so full of different scams it is difficult not to get caught out somewhere so people finding financial life very difficult need help to get their affairs in order and stop the worrying. Depression costs the NHS millions and is directly attributable to financial concerns in many cases.When you are a Tory politician it is very simple to see the latest bill to drop through the door and just forward it to their accountant to settle. No worries there then!! That is why the view is that they are totally out of touch.
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17 June 2014