These tips will create a mindset for a better management of your finances, tell you how you can save more and spend less. Not all tips are relevant for everyone, of course, but you will definitely grasp the general idea of saving opportunities and modern solutions that may lessen financial burden on your wallet.
1. Invest in Stocks
Investment in stocks gives you multiple advantages versus traditional savings accounts. You are able to be ahead of inflation, capture the benefits of a growing economy, and make money both through dividends and through stock appreciation. While stock investing is more risky than regular savings accounts, higher risks are often related to higher rewards. To mitigate the competition from professional investors you can use investing apps which offer expert advice about stocks, and create opportunities for fractional investing where you can invest in high-valued stocks without spending a fortune on a single share. Another tip is to invest in traded funds (Exchange Traded Funds - ETFs) rather than single companies. This protects you from a possible downfall of a particular company and offers the benefits of professional management of a traded fund.
2. Share Referral Links Online
8 out of 10 mobile apps and subscription services offer referral programs. They give you extra money and rewards for inviting friends. While your friends and family might be annoyed at such constant offers, there are online platforms that allow you to promote referral link free and not bother with sending it to friends on share it on social networks. I Refer You platform delivers your offers to the most interested audience, thus increasing your chances to save more. Moreover, it gives you the opportunity to get discounts online on the services you are interested.
3. Invest in Real Estate
This may sound like a luxury when you are short of funds to buy houses or apartments. However, nowadays there are ways to be a fractional real estate investor. Such services as Fundrise allow you to start investing with as little as $500, and as you invest or earn more, you move up the ranks to diversify your real estate portfolio and to choose investment goals. Real estate has always been a lucrative investment, as its appreciation value is likely to increase in the long run, even despite a possible economic crisis in a shorter term.
4. Choose Credit Sources Smartly
Credit cards which offer balance transfer and 0% interest rates for the initial period after opening may look attractive at first sight. In the longer term, however, they may become a trap if you don’t manage your credit wisely (see our last point of the article). At the same time, balance transfer options and lower interest rates may be a smart decision when you have an opportunity to decrease the interest rate on your current debt. Again, it’s the 21st century and there are apps that offer you lower interest rate credit directly from your phone.
5. Manage Your Credit
The previous advice may sound uncomfortable if you already have credit debt. Most important tips may seem obvious to someone, but still worth mentioning: check your bills regularly, avoid late payment fees, spend within your credit limit, try not to fall into the minimum payment trap. Other useful tips are to cancel or at least limit the amount of cash you withdraw, stop using credit card cheques. Use as few recurring payments on credit cards as possible. Cash back credit cards may motivate you to spend more, but with proper management you can get those cash back benefits as well.
To Sum Up
Invest in stocks and real estate, take care of your credit, don't miss additional savings opportunities.By following these tips and tricks you are less likely to find yourself in a situation where you are not able to repay your debt within the required time. Rather, you will notice significant improvements on your savings and investment accounts.