Every quarter I do a big cull of our family’s expenses and we find large chunks of money in terms of weekly savings. There are many parts of the budget that every consumer should consider slashing and these are usually the top five on my list:
- Interest bearing loans
- Credit cards
- Groceries
- Utility Bills
- Insurances
Save $400 each week without working
Check out my video: Ways to save $400 a week without working to see the power of culling expenses regularly.
Vital! Reduce high interest on loans by refinancing
The loans in your life bearing high interest, along with credit cards, should be high on your list when cutting expenses. This includes mortgages and car loans, which can be a huge expense over the course of many years, if you don’t get the interest rate right.
Saving affirmations – good to know
Here are two of my golden saving affirmations
- Maximise every dollar that comes through your door
- Don’t let companies take your money without you noticing
Listen to this audio – Would you cut up cash with scissors?
Make this a priority: Refinance your car loan
In light of this – refinancing your car loan should be on the top of your list. Interest rates on car loans can be extremely high and the company you originally financed the car through, which was likely attached to the car dealer you purchased through, is probably not the best and most cost-effective option for the financing of your car over the entire course of your loan term.
Check and compare your car loan online
It is vital that you do a check and comparison on your car loan to maximise those dollars coming through your door and to make sure that you are not paying too much weekly, fortnightly or monthly for the course of three or five years. These costs add up and fast and can easily cost you your next holiday away or perhaps that new bathroom renovation you’d like to do.
Also consider the insurance set up by your original lender. I discovered that the insurance on my hubby’s car was very high in comparison to an insurer I would have picked myself. So definitely look at insurance options also.
Companies such as First Rate Car Loans can do the hard work for you and fast. They will greatly reduce the premiums you are currently paying and can assist with the following:
- Source you a better and more affordable finance option
- Tailor the finance solution to meet your specific needs
- Reduce the interest rate on your car loan by finding a better rate
- Save you thousands of dollars over the course of your loan
- Help reduce repayments to a level you can afford each month
- Help you assess whether you still need the gap cover or loan protection you may have originally purchased with your current finance company
- Assess if current changes in the market can reduce a current out-of-date loan
- Help you switch from a lease arrangement to a normal car loan
- Help you refinance balloon payments to prevent you having to payout large sums of money or selling your car altogether.
It is the daily business of companies like this to make it easy for you to make the switch. As a result it is a lot easier than it used to be to switch loans. Often a 24-hour turnaround is also available.
Constantly keep overheads in check
I highly recommend taking a quarterly look at all your current expenses and working down my list of five above to greatly reduce your family’s overheads and debt.
Do you have a great idea on how to shave down expenses? Which expenses would you attack first in such an exercise? Leave your ideas in comments below.