Millennials have more disposable income than ever. However, they tend to spend their money irresponsibly. It’s now more important than ever to learn prudent purchasing and money-saving behaviors to ensure that you aren’t foolishly wasting your hard-earned cash.
Thankfully, there are some basic money-saving techniques that will still allow you to live your life and leave you with cash leftover that can go directly into your savings account.
1. Be strategic with your credit card interest rates
If you have multiple credit cards, then it’s likely those cards come with different interest rates. Perhaps you’re still carrying a balance on a card that you applied for when your credit was relatively unestablished and that card has significantly higher interest charges than your newer options. Or maybe you opted for that high-interest card because of the travel perks.
In any case, it pays to be smart about paying off your high-interest balances as soon as possible. If you’re carrying a balance on different cards consider only making the minimum payment for a while on the lower-rate cards and paying off the more expensive debt first.
2. Scrutinize your subscription services
When was the last time you went to that expensive gym you paid for? Have you watched anything on your premium Hulu subscription recently, or are you too overwhelmed trying to catch up on Netflix and Amazon shows? Still paying for that car sharing service you’ve only used once in the last year?
Our lives have become inundated with subscription services and many of us keep paying for them without taking advantage of any of the benefits. I’ve known couples who have moved in together and continued to pay for two Netflix accounts for an entire year! Check your credit card and bank statements and make a list of each subscription service you’re paying for. If you haven’t used it in the past three months, look for the cancellation page. You can always sign up again, and you might even get promotional deals designed to entice returning customers.