Therefore, think about your life and where these five events fit in, to help you prepare yourself to make the most of them when they come along for you, whenever that may be.

1 – The big trip

Most of us have got at least one big trip in us, others hope for many more. Regardless of your travel plans for the future and your nomadic nature, the first big trip is likely to be the hardest one to save for. Whether you’ve gotten up the courage to take a big world trip when you finish school or university, or you’ve waited a little longer until you’ve got a ‘proper’ job, here are some tips to help you save up:

• Know how much you need to save and how long you need to save for. Saving up for a big trip isn’t just about having enough money for entrance into the tourist attractions, you’ll also need to make sure you can cover your expenses back home too. Therefore, set yourself a plan, knowing how much you need to save in total, and what that means each month.
• Be disciplined. Saving up for a big world trip requires a lot of money, and then a little bit more just in case, therefore, you need to be disciplined with your spending and your saving. If you can’t resist buying those new shoes that aren’t in your budget, then you’re not really committed to saving for your trip are you? To help with your discipline, don’t go into your favourite stores to start with. Window shopping may seem perfectly innocent but the temptation cam quickly become too much. Instead, distract yourself by doing something else – read a book, or go for a walk, and not a walk down the mall.
• Earn more money if you have to. If you have your heart set on a certain travel date and just not enough opportunity to save enough money, look at what else you can be doing to meet that financial goal. Plan out your spending each month and look at where you may need to fatten up your savings account with extra hours at work, or a part time job.
• Second hand. The desire for new things doesn’t just disappear because you can’t afford them, and there are some valuable purchases you can make, for example books to read up on your destinations or expand your mind, or DVDs of a TV series to watch at home and save on nights out. Therefore, join a library or start a book swap with a group of friends. You can apply the same principle to DVDs, or even clothes. You can even make an event out of the swap and get a group of friends together for dinner and a night of DVDs at your place, and then go to their place next time. You can still catch up with your friends but it doesn’t run up a big bar tab.
• Make your own lunch. This is a common piece of advice, simply because it is true – you’ll save thousands of dollars a year by making your own lunch at home and avoiding the cafes and food courts in your lunch break – plus you’ll actually have time to relax and enjoy the break in your day.

2 – First house

Buying your first house is a monumental step into adulthood, and can be a very confronting and scary time. However, what can be even more confronting is if the purchase of your dream house consistently falls through, and even more – if you find out down the track that you can no longer afford your home. Instead, to save for your first home make sure you:

• Provide a healthy deposit. The bigger the deposit you can make to your home loan, the smaller your borrowing amount will be, and the lower your repayments will be. You are also reducing the risk to the lender because they are lending you less of the property’s value, so you are more likely to be approved quickly, which can overcome common hurdles for first home buyers.

• Account for 5% in costs. Most home loans will require at least a 5% deposit, but the deposit isn’t the only cost you have to worry about. On top of the deposit you will also need to pay stamp duty, conveyance fees, loan application fees, inspection costs and legal fees and you should allow around 5% of the property’s value to cover these fees. This means you need 5% for your fees, 5% for your deposit plus however much you can afford to put in as an added deposit to reduce your borrowings.
• Save your loan amount. Once you have a rough idea of where you want to live and how much it’s going to cost, you can put the numbers into your budget but you’ll never really know if the budget works until you put it into practice. Therefore, before risking stretching your budget on your real home loan, as you save up for your first house, set up a direct transfer from your wages into a savings account of the amount which would be your home loan repayment. In this way you are saving regularly, and you are also adjusting your spending a though you were already repaying your home, to make sure you really can afford it.
• Pay off other debts. Other debts such as credit cards and personal loans can be detrimental to your home loan eligibility. Therefore, as you save for your first home also work on getting your debts under control. This may involve a balance transfer, remembering that this counts as a credit card application and will appear on your credit report, so make sure you will be approved. Repaying your debts will not only increase your borrowing power, but also free up your cash flow.
• Look for a dedicated first home savings account. It is a government initiative in Australia for example, where anyone saving for their first home can open a fee free, tax effective savings account to help them save for their deposit, where the government also matches contributions to a certain amount. The accounts may differ between countries and financial institutions, but many governments are implementing ways to stimulate the local housing market, so make sure you take advantage of the help you’re eligible for.

3 – Wedding

Your wedding requires so much saving and preparation, which ultimately comes down to just one day, and it is important to remember this to keep your wedding spending in perspective. While there is no doubt you want your wedding day to be the most special day of your life and a celebration of the wonderful marriage which is to come, and the amazing relationship which has gotten you to this point, you also want the marriage on the other side to be a happy and healthy one, emotionally and financially.

Therefore, to help make sure you save and spend wisely for your wedding day, remember:

• Gather all the information. The wedding industry is a big and lucrative one and it will take you some time to review all of the information and options available to style your special day. Luckily this gives you plenty of time to save for the big day too.
• Make regular contributions. Even if you can only set aside $20 a week, it will quickly add up – that’s $80 a month and almost $1,000 a year which can go a long way to paying for the wedding bills which are your responsibility.
• Save specifically. Rather than simply opening a savings account and labelling it ‘Wedding Savings’ look for an online high interest account which allows you to create sub accounts. You can then save for specific parts of your wedding day such as ‘Flowers’ or ‘Photographer’. These will be smaller and more easily attainable targets, and this will help to keep you motivated.
• Set a realistic budget. Technically you could save up for the next five years to have a wedding which will blow all of your guests away, but at some point you need to strike a balance between what you want and what is affordable and realistic. Plus, if you are forcing yourself to set aside too much money each and every week, you’re quickly going to want to rebel against your savings regime and you risk the idea of eloping becoming more popular, when all you want is a fun day surrounded by your friends and family.
• Be flexible. Remember to keep your wedding planning and saving fluid. If you find that the dress you’ve always dreamed of is $1,000 more than you budgeted for, can you do your invitations yourself, or cater your own engagement party?
• Joint savings. You and your spouse will have merged your lives soon enough once the rings are exchanged, but planning the wedding is also something you should do together. Therefore, open a wedding savings account in both your names and make sure you both contribute. It may not be entirely traditional, but it will ensure your wedding is planned your way.

4 – Children

Children are without a doubt an expensive event in anyone’s life, but don’t let that stop you from planning for a family. Remember that there is likely to never be a perfect time to start a family and if you worry too much about the costs then you are going to keep putting it off, and before you know it you will have missed your chance. Therefore, if having children is something you think you want to do in your life, make the following preparations and then let nature take care of the rest:

• Upgrade your health insurance. Many people will have a young couples cover, which will not cover any costs incurred for childbirth. Many health insurance policies also require you to have coverage 12 months before you fall pregnant for you and the baby to be eligible to claim for the health care costs of your pregnancy.
• Rough up your budget. A baby is going to shake up every area of your life and your finances are just one of them. To prepare yourself, take a stroll down the baby aisle at the supermarket this week, instead of sailing past it again. Look at the costs of nappies, creams, powders and food and work out how much you would be adding to your grocery bill each week if you really did have to stop in this aisle. When you get home, create a new budget with your estimated baby costs included and start a direct deposit for that amount from your income and put it into a dedicated savings account.
• Save any extra money. If you receive money back on your tax return, you have a little lottery win or you receive cash as a birthday or Christmas gift, put that into your baby savings account too. Also look for other ways you can bring in extra income, for example selling things on eBay or taking them to an op shop – after all, you’re going to need to make space in your home for another family member.
• Work out your maternity benefits. Research your workplace’s maternity leave and pay policy so you know how much money you will still have coming in when you’re not working. This will help you determine the gap between your savings, your income and the amount you need for your regular expenses as well as the additional costs of a baby.
• Become a one salary family early on. When you start considering having a baby it can be a good idea to try living on one salary. Deposit the entire second salary into a high interest savings account and see how much you can cut back on your luxuries to live on just one person’s income. This will give you an idea of where adjustments can be made, as well as give your savings a healthy boost.

5 – Retirement

Retirement should be the last major financial hurdle you have to clear, and luckily you don’t have to wait until you retire to tackle it. In fact, the earlier you plan for your retirement, the better off you will be thanks to long term investments and compounding interest. The first thing to do when saving for your retirement is to work out what you’re saving for. What sort of retiree will you be? Do you want to travel the world, or just travel around the country in a motor home? Do you have a lot of grandchildren who will need to be spoilt or will your retirement be spent spoiling yourself and your partner?

Retirement can be an easy and relaxing time, but only if you plan your finances in advance. The bills don’t stop just because you stop working, and nor do the prices stay fixed. It is estimated that you will need around 70% of your pre-retirement income to maintain your standard of living when you retire. This is assuming your house is repaid and you can save on travel and work related costs. At the same time, you will probably be adding in costs such as new hobbies or traveling adventures.

As with any other savings goal, it is important to start early and save regularly. With your retirement it is especially important because your greatest asset now is your earning capacity, and once you’re retired you can’t go back and tell yourself to pack a lunch from home, or put those new shoes back on the shelf. Where you keep your retirement savings is also important, because you want to make sure your investment is safe and that it is growing at a rate which will keep up with inflation costs as the cost of living increases.

Most employer or government retirement funds will have incentives such as tax breaks and contribution matching to encourage you to contribute to your retirement fund. Therefore, find out about the benefits which you are eligible for and make sure you take full advantage. It is also important that you don’t withdraw from your retirement savings before you retire as you are not only jeopardizing your investment, but you can also be subject to fees and interest penalties.

Retirement is a milestone event in your life, and one which you have the greatest control over. Therefore, take that control and make it work for you, so that the hard work and savings you’ve put into the rest of your life have been leading up to a rewarding and relaxing retirement.

Alban is a personal finance expert. He has been writing hundreds of articles on prominent financial blogs. When he is not blogging, he reviews loans at Personal Loan Finder

Coffee Machine

One of the most common budgeting bugbears is coffee.  Those coffee drinkers that can’t live without their daily takeaway coffee might be living without extra money.  Even those that buy a cup of coffee a couple times a week are missing out on savings. Consider an investment in a coffee machine.  There are some high-end machines on the market that can deliver a cup of coffee (or espresso, or tea, hot chocolate…) and may also deliver some impressive savings compared to your regular spend in coffee shops. After the initial investment, you’re looking at a staggering discount on every cup of coffee.

Sports Package

Sports lovers are often in a tough situation when it comes to their budget.  You want to watch your favorite teams play, but the nationally-televised games only cover a small portion of the league.  What should you do?  Some choose the following options:

• Go out to your local bar or pub to watch the game.  Yet, how much will you spend per visit for some drinks?  Will you pay for overpriced food while you’re there for a few hours, enjoying the game?
• Buy live sports tickets.  You know the story here, especially for high-priced professional games.  Add in parking and transportation costs, and you have a budget-breaker that no car insurance comparison can make up for, once you see some local games.
• Many cable and satellite providers offer another option – a sports package.  For a one-time fee, you can get unlimited access to games around the league.  Within the comfort of your own home, and hopefully in High Definition (HD), you may save money compared to the expense of enjoying sports viewing away from home.

Video Games and Board Games

An article I recently read in the New York Times analyzes entertainment options on a price-per-minute basis.  For instance, it lists the opera as one of the worst offenders in terms of value for time.  A video game?  Despite the initial price of purchase, these are much better in their average cost-per-minute. Try looking at your entertainment expenses in this way.  Streaming movie services, video games and board games keep proving their value every time you use them.  In other words, they aren’t expended purchases – they will last for some time.

Blender

What do you like to drink?  Cocktails, smoothies, milkshakes, and more, they’re all nice – and they can be expensive when you purchase them while you’re out in the town.  Just like the restaurant or bar, though, you can make them with a blender from fresh ingredients. Sure, it might take some trial-and-error to get them just the way you like.  But that can be part of the fun.  After buying a blender, the ingredients, and perhaps a recipe book, you could be on your way to great savings.  Replacing high-cost drinks with what you make at home could be a great way to boost your budget.

Who knows; maybe it’ll do wonders for your diet with some healthy fruit juices you can make.  You could save more money by using it for a party that you host.  The possibilities are endless when you switch a few little luxuries for frugal ones!

Citations:

• Image credit

This article is provided by Brian Neese, who shares tips on how to compare car insurance and check out private health insurance quotes.

Of course, taking up a second job or participating in medical research studies is an option, but many people do not feel they need to take such serious measures. For these people, the ideal option is probably saving money on everyday things.

There are several ways to do this.

Lose Excessive Technology

One way to save money is to lose excessive technological things that may be costing you more than you think. For one example, if you have a land-line, you could probably benefit from switching completely to a mobile phone. And if you get quite a bit of use out of your phone, you might consider trying Line2, a program that allows you to have a second line on your cell phone and make calls and send text messages over Wi-Fi. This can save you cell phone minutes and eliminates the need for a second work cell phone.

Also, if you currently pay for cable or satellite TV, you might consider discontinuing those payments. “TV money” can add up fast, and there are some very entertaining shows on many local, free television networks. Also, it is a good idea to unplug cords to appliances you are not currently using, such as chargers. These still use electricity when they are not charging a phone or computer, costing you money.

Cut Out Coupons

Another simple thing to do to save money is cutting out coupons. Many people do not cut out coupons because it can be time consuming, but when you really need to save money, coupons can be the perfect solution. Also, sometimes you can save money by grocery shopping at several stores. Once again, this can be time consuming; however, different stores might have sales on different things at different times. If there are a few grocery stores that you pass on a regular basis, it might be worth your while to stop in and check out the prices of things you buy.

Buy in Bulk

One more way that many people are saving money is by buying regular things in large quantities. Many stores, such as Sam’s Club, allow shoppers to buy large stocks of groceries at once to spend less per item than when bought in smaller amounts. This can also decrease the number of trips you take to the grocery store, saving you money in gas. Or, if you would rather eliminate grocery store trips altogether, many people are doing all of their shopping online, including their regular groceries. This has become increasingly easy and efficient and can save you time and money.

Everyone could use a little more money these days. Before looking for a second job or selling plasma, you should try to save money you are already spending. After all, as Benjamin Franklin once said, “A penny saved is a penny earned.”

Jessy is the finance writer for Life Insurance Finder, the free money-saving tool to compare life insurance online.

Image Credit: 1.

Financial tips to boost happiness

By mastering the following financial tricks, you can pave the way for a happier life:

• Never buy on impulse. Impulse shopping is one of the main reasons why people overshoot their budgets month after month, only to realize that they don’t really need most of the things they buy. Therefore, the next time you see something that you simply must have, give yourself at least two days to think about it. Chances are you will never come back for that product and will never miss owning it.
• Be extremely conservative with loans. While it is acceptable to take a loan for major purchases such as a house or a car, it is not really necessary to take loans for a holiday abroad, home renovations, or for buying expensive furniture! Make it a point that you will only indulge in such spending if you have the money to do so, but will never take loans for such expenses.
• Swap larger expenses for plenty of smaller ones. Since it is not possible to be happy simply saving money and not spending it, you should try to do away with bigger expenses so that you can indulge yourself more often. For example, if you really do not need that second car, you can indulge in some retail therapy at your favorite clothes or accessory store instead. Your shopping spree will leave you feeling great and you will have spent considerably lesser money to achieve that feeling. Similarly, instead of spending thousands of dollars on an exotic holiday to a foreign destination, why not go out for movies and dinners more?
• If you can put away at least 25% of your income into investments or an emergency fund, you will realize that you don’t really miss spending that money but are far happier in the knowledge that you have some kind of nest egg.

With the help of the above financial tricks, you can lead an extremely happy life without falling into the debt trap.

Esther is a journalist and blogger who regularly blogs on issues to do with small businesses. In her writing she covers everything from advertising to marketing and from contractor tax to umbrella companies.

Once you have decided that filing for bankruptcy—as opposed to managing or restructuring your debt—is the course of action that you want to take, you must choose which legal professional to hire. There are a number of things to consider when making this choice. Remember that you are eventually going to be paying for this legal help, so like anything else, you want to make a cautious and informed decision. Here are four factors to consider.

1. Cost

Find out how much they charge and determine if this is a comparable and reasonable rate. Some litigators charge a flat fee upfront, while others may charge based on the outcome of your proceedings. Do your research and make sure you are not being charged an unreasonable rate. You should also try to negotiate a manageable fee and payment plan with your chosen professional.

2. Experience

Ask if the lawyer in question has considerable experience dealing with cases like yours. If, for example, they are accustomed to dealing with corporate bankruptcy cases and you are filing as an individual, you may want to consider finding a professional with more relevant experience. You may also want to consider looking into their case history to determine how successful they have been at negotiating favorable outcomes for their past clients.

3. Size of the Firm

Law firms differ in size, and if you’re able to, it may be a good idea to choose a larger bankruptcy firm. Larger firms generally have more established reputations, attract higher profile lawyers to come work for them, and are more likely to always have a legal professional available to answer your queries.

4. Availability

During your legal proceedings, you will undoubtedly have many questions, so consider the proximity of the law office you choose, as well as how easy it will be to get in contact with them via alternative methods of communication.

Having an experienced bankruptcy lawyer on your side during your time of financial crisis is not only necessary to negotiate the legal proceedings, but it also will give you peace of mind.

Finance and debt happen to be some of John’s favorite things to write about. If you’d like to find out more about Bankruptcy Lawyer, please visit http://www.maceybankruptcylaw.com/

Help Is Available

The government runs a Support for Mortgage Interest scheme which has been a lifeline for many homeowners that became unable to keep up with payments after losing their jobs or becoming too ill to work. The scheme has been the victim of some harsh cuts in recent months, and the waiting period before a new applicant can get help is getting longer and longer, but the scheme still exists. The new, longer waiting period means that it’s imperative that people ask for help as soon as they hit trouble.

Talk to Your Lender

It’s vital that you talk to your lender as soon as you realize you’re going to have trouble paying your bills. Often, your lender will be able to work something out to allow you to stay in your home. You might be able to pay off your arrears in installments, extend your mortgage term, or take a payment holiday.

Find Ways to Make Money

You may be able to either rent out a room in your home, or rent out your property and temporarily move somewhere cheaper yourself. Don’t do this without consulting your lender first, though. Many mortgages have clauses that forbid borrowers from renting out the property. Don’t bank on getting permission – it’s an option that is worth exploring, but not all lenders will say yes.

You may want to consider selling your car, or some valuable possessions, to buy yourself a few months time to get a new job.

Prioritize Your Debts

If you owe money to more than one lender, put your mortgage first. You’ll get a black mark on your credit rating if you default on your credit card, but that’s nothing compared to losing your home. Pay priority debts (mortgage, council tax, etc) first, and use whatever is left in your budget to pay other debts.

That may mean that you have to fore-go getting a new fitted kitchen, or wooden window shades until your financial situation improves, but at least you will still have your home. When you clear your arrears, you can celebrate by redecorating and installing those fitted blinds.

Go To Court

Even if you feel like your situation is hopeless, go to court and put forward your case honestly and sincerely. Not all court hearings end in repossession, and you may be able to get a more positive outcome, if you show up.

This post was written by Crispin Jones on behalf of Moonshadow Blinds who sell wooden window shades and fitted blinds. Crispin writes on subjects relating to homes and homeowners.

Organize Financial Data

Before taking any steps to eliminate debt, it is vital to first organize expenses and income. The organization of data should first look at the income and then start listing the normal expenses. The normal expenses include basics like food, housing and utilities as well as current debts and extras.

After listing the items, determine what is a need, what is a want and what is completely extra. A need is something that is necessary, such as food, clothing, shelter and health coverage. A want is a matter of better quality, such as the most fashionable brand name clothes instead of a generic brand that looks similar. Complete extras would include that special coffee from a café or eating lunch at a restaurant instead of bagging it.

Eliminate Superfluous Expenses

Start getting rid of the unnecessary extras. Cut out that five dollar coffee or eliminate the restaurant lunch in favor of a lunch brought from home. This will help cut the expenses so that more money is available to put toward debts.

For many, it might also be necessary to start cutting back on quality items. For example, buy generic groceries with the store brand name rather than the brand name groceries that cost almost double.

Cut up Credit Cards

The best way for someone who has chronic debt to avoid adding more is completely eliminating the use of credit cards. Start by cutting up the credit cards so that it is no longer possible to spend on them.

After the cards are cut, carry cash and use it to pay. This will avoid building up new debts while also requiring more thought about the purchases.

Pay Necessary Expenses

Before tackling the debt each month, pay off the necessities. For example, pay the rent, buy groceries and pay for utilities before making the payments on debt. This will help avoid late payments on needs. Just take measures to ensure the debts are also paid before the due date.

Pay More on Debts

With more money from cutting back on unnecessary costs, it is possible to put more money into the debts. The key to becoming and maintaining a debt free lifestyle is avoiding the addition of more debt while paying off any existing debts.

A debt free life is never easy. It requires making some sacrifices and financial changes until after debts are paid. Despite the challenge, it ultimately results in amazing financial benefits.

This guest post was written by Alex from compare logbook loans.

2. Save Up
Furniture rental companies make it easy for anyone to walk in and get anything they would like on small payments. However, the payments add up to a lot more than the total price. If it’s something you can wait for, the best way is to simply save the money each week. Put the amount of the payment in the bank or just save it until you have all you need, then buy the item. Buying with cash is usually the best option available.

3. Sales
Always check the local grocery store sales in your newspaper before shopping. Clip any coupons for the items you know you will use. Take stock of your pantry, freezer and refrigerator before leaving so you only get the things you need and don’t need to go back. Buying only the items you will use not only cuts down on spending, but saves from wasting out-dated food. People throw away food without thinking what it’s really costing them.

4. Shop Smart
Money is spent every day on furniture or other items that are low-priced and not good quality. Checking the integrity of a company you plan on buying from should be done in advance. Ask friends and family if they have ever bought anything from them, what they thought of the product and how long it lasted for them. For instance, always look at the seams of the upholstery. They should be strong and have no frays. Never spend money on things that you will have to replace in a short length of time. If you’re buying something expensive, make sure it will last you a long time.

5. Timely Maintenance
Changing the oil, checking all fluids and rotating the tires on your vehicle can and will save you money on repairs. During routine maintenance, you can check for leaks that could run into expensive repairs, if left undetected. For instance, the oil keeps your motor from locking up. Changing it when scheduled keeps it clean and running smoothly through the engine. Keeping the wheels aligned is important as well. If not properly aligned, your tires could wear excessively and become dangerously smooth, leading to blow-outs and wrecks. Keeping the tires rotated during oil changes helps keep them evenly worn.

6. DIY
Learning to make home repairs can save you a lot of money. Most people would rather call in a repairman to do what they could do themselves. Books on home repair are abundant and easy to follow, investing the money in a book could save you money on the job.

Melissa Klam likes to write about auto repair, home improvment and saving money at www.grouphealthinsurance.org.

Timely Bill Payment

It may seem over-simplistic to say that bills should be paid on time, but many people have low credit scores based on late payments. It is not a good idea to wait until the last minute to put the bill and check in the mail, or call on the phone to make the payment on the date the bill is due. Lateness does not always depend on the day the money arrived, but more on when the business posts payments.

If a bill is due on the 12th of the month it may get posted by 12:00 pm. If the payment arrives later than that hour it will be considered late, as it will not get posted until the next day. Eliminate that issue by having automatic bank drafts for bill payments, or always send the bill payment several days before the due date.

Limit Credit Cards

It may be tempting when the sales person at the checkout counter states that 20% of the bill can be saved by opening a credit account. But that temptation can lower a credit score. The more credit cards a person has results in a higher potential for debt. Limit the number of open credit cards and depend on only two or three major cards that are paid off monthly, if possible. This practice will also limit out-of-control spending, as the allowable dollar limits on the card must be monitored.

Remember, every time a person applies for credit their score is reduced by ten points. Close all cards that are no longer in use, and inform the creditor to notify the credit bureaus. Note that some financial advisors suggest that credit cards not be closed as it reduces the amount of credit available, while others suggest that they should. If a person does not have good self-control and will potentially use the cards, it is better to close them.

Pay Off Balances

It will not increase a credit score to have open balances on all credit cards. Pay the balance owed monthly. If too many cards have high balances, work to pay one card off completely by paying as much as possible each month on that card. Once that card is paid off, put it away and do not use it. Next, work on paying off another card. Eventually all the cards will be paid. Determine which cards are most important and only use those. Close the other accounts.

Debt to Credit Ratio

Credit is determined by how much debt a person has based on the amount of credit available to them. This debt to credit ratio is a way to increase a credit score. Once all debts have been paid, establish a perfect payment history for a year or so, and then ask for an increase in the line of credit. Do not plan on spending up to that increase; the point is that the amount of credit available is higher and the debt is low. This only works to increase credit scores if the credit card debt remains very low no matter how high the available credit.

Live Within Income

Debt should not be a way of life. People should incur debt because it is important to purchase high cost items for essential living items such as houses, cars, stoves, refrigerators or other high-cost necessities. If clothes and shoes have to be financed, perhaps they are not affordable. Do not buy them unless they can be paid for in cash, or the credit card can be paid in full when due.

The home mortgage fiasco was a result of mortgage lending dishonesty, but also a result of people purchasing homes they knew they could not afford with traditional mortgages.

Minimize Credit Inquiries

Credit inquiries can lower scores so limit cell phone companies, retail stores or other inquiries to only a couple a year.

Maintaining Extraordinary Credit

With diligence and patience, a person can increase their credit score. The best practices are to pay bills on time, keep open credit less than 25 percent of available credit and limit credit inquiries. The higher the score, the less impact one mistake will have on the overall score.

Go online to Kanetix.ca to find the best credit cards Canada and ways to maintain an extraordinary credit score. Kanetix is Canada’s premiere online comparison service for credit cards, insurance and mortgage rates.

• Make meal plans and stick to them

When you go shopping, it’s always tempting to impulse buy. However, if you plan out exactly what you want to eat for the week, put it all on a shopping list then stick by it while you’re in store, you’re far less likely to splurge it all away. The trick is to feel a certain degree of satisfaction in going: “Is it on the list? No? Never mind, then.”

• Get a loyalty card and collect coupons

These days most big supermarkets have loyalty cards, which are almost always free. As well as earning you points (and thus often money off) when you shop, loyalty cards also tend to net you a number of coupons and vouchers. While you can, of course, still get these as a regular customer, customers with loyalty cards tend to get better deals (and also those tailored to the particular items you buy). Planning your meals around what coupons you happen to have is also an excellent way to keep costs down.

• Stock up on cheap carbs

Getting your carbohydrates from such staples as rice and pasta is great as you can buy such foodstuffs in bulk for very little (check out the price of those huge sacks of rice and you’ll see what I mean). These can be made into a wide variety of incredibly cheap but tasty meals, depending on what you buy to go with them.

• Save – and reuse – your leftovers

If you’re tightening your belt then you definitely shouldn’t be throwing away food. Leftovers can be saved and reheated for future meals, or else taken to work in lieu of other, more expensive lunch options. On the subject of packed lunches, these save a lot of money; meal deals aside, a lot of store bought sandwiches, salads and similar are incredibly expensive, making it much more cost effective to provide your own.

Daniel Cole, a dedicated scrimper and saver, is writing for Vanquis Bank, credit repair experts.