Saving money is always a good thing and fortunately, there are a number of fairly easy strategies for saving money - money that could either be saved or used to pay down debts.
San Antonio, TX (PRWEB) November 29, 2012
Debt Consolidation USA has published a money saving article for consumers looking to stretch their finances further. Saving money is always a good thing and fortunately, there are a number of fairly easy strategies for saving money - money that could either be saved or used to pay down debts. Here are some of the highlights from the article:
Strategy #1: Cut spending on clothing
Many people spend more than necessary on clothes. Take brand name clothing as an example. It's possible to save a lot simply by buying "off brand" clothes. It's like buying generic grocery items as this makes it possible to get the same quality but for less. When buying brand name clothing, it's best to shop in the store's clearance section. As an example of this, women who shop the Nordstrom's Rack store save anywhere from 20% to 40% on top brand name items.
Strategy #2: Buy catastrophic health insurance
One of the biggest ways to save money is by having health insurance. This is because if there is a medical emergency - whether it's an illness or due to an auto an accident - it can cost so much there will be no alternative but to declare bankruptcy. People who don't already have health insurance need to buy it. "Catastrophic" health insurance policies are those with high deductibles. They are reasonably priced and could eliminate the need to pay thousands of dollars in medical bills.
Strategy #3: Save money on groceries
Food is what many experts call a "low hanging fruit" as it's almost always the easiest way to save money. For example, it's important for shoppers to take a grocery list with them or they are likely to spend more than necessary. The person responsible for buying groceries should sit down at the beginning of the week with their store's food supplement and plan menus for the week. It's best to build these menus around items that are on sale. For example, when whole chickens are on sale, buy one, cook it for one dinner and then use the leftovers to fix chicken fried rice the next night. Also, be sure to look for staple items on sale like rice and beans that can be stored for weeks and used as the basis of many meals.
Strategy #4: Save on auto insurance
Auto insurance companies are sometimes willing to lower a client's premiums if the person has been a policyholder some time and has a clean record. It's important to call an agent and ask if this might be the case. Be sure to also ask about discounts. Safe drivers, people who insure their home and auto with the same company or those who insure multiple cars, are usually eligible for good discounts. Another tip is to increase your policy's deductibles. An example of this, just changing the deductible on collision coverage from $250 to $500 could save quite a bit. Drivers of older cards might drop collision coverage entirely, which could cut the insurance cost in half. People who do this often save the money they would have spent on that coverage to build a fund that could be used for repairs or a new vehicle - in the event of a bad accident. This is called being "self insured."
Strategy #5: Save money on phones and cable
Families who have both a landline and a cell phone, may be able to drop the landline. One of these lines can cost up to $50 a month. Dropping it might save as much as $600 a year. Also, be sure to take a good look at the cost of your cell phone. It's sometimes possible to save money by reducing the monthly minutes. Families that have kids that text a lot might consider changing to one of those new plans that has so many minutes a month, some number of megabytes of data and unlimited text messaging.
Dealing with debt
Between the cost of living, which seems to increase almost daily and holiday spending, many Americans find themselves confronted with a frighteningly large amount of debt. Adriana Spears, spokesperson for Debt Consolidation USA, pointed out that, "Many families who are struggling with debt have found that a debt consolidation plan can be a good option for managing debt. However, she went on to say, "debt consolidation plans work best when combined with budgeting and stricter spending habits."
Consumers can click here to learn more about saving money on their debts.