Everybody leaves with a dream. Dream of having a big luxurious car or may be a huge house with all facilities or to go for a world tour!! Life is all about dreams and people do live for those dream. Dreaming to have such luxury in life is a different thing and having them is something different.
These days the scenario which people are facing is something like- average salary, high lifestyle, high expense and as result very less saving. Fulfilling such dreams itself is a dream for them with a very few bucks on hand. At such point of time, what is most helpful is getting a loan. Loan at a cheap rate for longer period and of amount high enough to fulfill the dream. Yes though loan is a blessing, it of course costs high at the end.
To avoid the high cost the best possible way out is SAVE MONEY from your income. How to save the money is a very tricky thing. One can save his money by following few simple steps as mentioned below.
List out the expenses
Make a list of the items on which you spend your money every month. Do an analysis what consumes most of your income.
Cut down expenses
Once you know what consumes most, try to put a cut on that expense to the extent possible.
Make a budget
Develop a habit of preparing a budget every month in advance for all proposed expense. It helps in estimating your savings or excess outflow in advance. It also helps in keeping the pocket tight on expenses from the very beginning.
Make a wish list
Prepare a list of the items that you want to have in future. Decide what amount will be required for that and start saving a fix amount every month. Make habit of putting money on side for saving before you start spending on anything.
Use credit card safely and wisely
As credit card facility makes you free from paying on the same day, it creates a threat of losing control over the expenses day by day. It is important to keep control over expense through credit card also as it will hit your next month’s budget. At the same time if you fail to pay on time, it will your credit history.
Make your saving useful
Saving money is not enough. It is very necessary to make it handy. Keep your savings so invested that it results in addition to your savings. It can be a interest bearing bank account!! At the same time, keep it in mind that your investment should not be risky and should be available for liquidity in case of emergency.
Saving your money helps you out in many ways. It keeps you out from the cyclone of loans. It does not only helps to people with good inflow of money and fewer outflows or says people having good credit limit. People with bad credit apart from relying on bad credit loans also can use it tactfully to come out of the bad credit zone. People who are badly stuck in it can go for consolidation loan and then paying consolidation loan on time using above method can get them out in few months.
So it’s very simple, save money – save credit – save yourself from tension and enjoy your dreams in real!