Sunday was the beginning of Spring and some people will be getting ready forthe annual 'Spring Clean' of their homes … why not give your finances a spring clean as well?
Here are some ways you can tidy up your finances and you may even save some money:
- Review your debt - How much do you owe, how much are your repayments and what is the interest rate? Look around and compare different deals that the banks have on offer. Some banks are offering a much lower interest rate, for 6 - 12 months if you move your credit card balance. This could save you money, especially if you expect to have your debt paid off quickly.
- Update (or create) a budget - a budget is a great way to make sure you are living within your means and also helps if you want to start saving. If you don't already have a budget, now is a great time to start one; or if you do have a budget is it up-to-date? You may have had a pay-rise, paid off a credit card or other debt, or your bills may have increased. It is important to keep your budget current and to stick to it.
- Review your personal insurance - if you haven't heard from your insurance adviser in a while, now is a good time to catch up for a review to make sure your cover is still appropriate for your needs. Over time your needs can change. When you first took out your insurance cover you may have been single with little or no debt - now you may be married, with a child and a mortgage. If this is the case, your insurance needs will be completely different and you may be underinsured. On the flip side, when you took out your insurance you may have been married with a young family and a large mortgage and now your kids may have grown up and left home and you are mortgage free. If this is the case you may need to reduce your insurance cover.
- House, contents and car insurance - it is also a good time to review your house, contents and car insurance to make sure you are still getting a good deal. Most insurance companies have online calculators you can use to get a quote. Another important consideration is to make sure your house insurance is accurate. In light of the Christchurch earthquakes, the calculation used to value your home has changed. Do you have enough cover?
- Check on your rewards points - credit card points, frequent flyer points and flybuys - most of these have expiry dates. Go through your various loyalty club memberships, so you can claim your rewards before you lose them.
If you would like a review of your insurance cover, please feel free to get in touch.