Start Saving Now For Next Christmas
Everyone's financial situation is different, but almost everyone I know (including me) spent more than we meant to last holiday season. Gifts, dinners, travelling costs, and Boxing Day bargains all cost money over and above our regular monthly budgets.
We knew we were spending too much, but at the time it just didn't seem to matter. And now the bills are coming in.
However, one of my friends tried something different last year. In January 2010, he set up a personal savings account just for Christmas. Every two weeks, on payday, he had the bank automatically transfer $20.00 from his regular account to his Christmas fund.
In December, he had over $500.00 to spend on Christmas!
Having this amount in his account, and then in his hands, helped him to be more aware of what he was spending. Whereas before, like some of us, he spent without keeping track of how much he was laying out, now he watched the amount in the account change and was more cognizant of what he had left.
When saving such a small amount each month, it's more important than ever get the best interest rate – and the lowest fees – from your bank. How can you easily compare?
Try the Financial Consumer Agency of Canada – their Money Belt section has a Compare Bank Accounts tool. Here's how it is described on the site:
"With this easy-to-use on-line tool, just answer a few questions about your banking habits and you’ll get a short list of banking packages that best fit your personal profile. Compare the available features, and choose your package."
Information provided includes monthly fees, maximum number of monthly transactions and minimum balance required for the monthly fee to be waived.
“Credit buying is much like being drunk. The buzz happens immediately and gives you a lift…. The hangover comes the day after. ”
~Joyce Brothers
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