I’d like to think that after slaving away in financial services for 15 years, in pre H days, that I know a thing or two about how to handle money. Add to that many years of handling my own money and our household money, all means that I’ve built up a lot of real life knowledge. So what are my tips for children learning about managing a current account?
- Save up for things and don’t get into debt. I think this is a good principle and it’s one I’ve mostly stuck to. I did have a few years of my life when I didn’t and whilst I never got into serious difficulties, I did see large chunks of my income going on repaying debt, which was frustrating and irritating. Obviously, there are exceptions to this as most people would never buy a house if they didn’t take out a mortgage, but I’d say think very carefully and make sure it’s easily affordable.
- Every so often write down everything you spend for a week. You soon see where your money is going. You can save quite large amounts of money by not buying that coffee to go every day or by making a packed lunch for work.
- Check your regular outgoings every now and again. Have a look at what is going out of your current account each month. Are you paying for anything you don’t make full use of?
- Shop around. Whenever possible look around for a cheaper deal. This is well worth doing on things you buy regularly and on bigger purchases. That said, sometimes cheaper isn’t always better, so think about customer service and value for money too.
- Check your statements even if it is only in terms of a glance through to make sure that there’s nothing that jumps out at you as being wrong.