Before you assess your debt situation, you need to know your financial situation down to the very last dollar - And the best way is by using a BUDGET >> If you don't have a current budget in place then THIS is the place to START - You need to know what is coming in and what is going out, where you're wasting money, and where you can cut back and use the savings to pay down your debts starting with the highest interest rate ones.
Hudson members can access the Hudson Comprehensive Budget (recommended) from the Member's homepage after Log-in - BUT, if you are not a member, you can download the Hudson Simplified Budget in PDF Format or in Excel Format >>
There are many ways to reduce debt, some are much more effective than others and may depend on your personal situation. We advise members to book a consultation with their Hudson Adviser - and non-members can still access our advisers help with a fee-for-service consult >>
In the meantime, you can immediately start reducing your debt by looking at your budget to see where you can cut costs, and where you are overspending. Most of us do overspend somewhere, remember you only NEED the basics to live, and the rest are WANTS! Trim down your 'wants' first.
Tips on Saving Money Everyday:
Save on Luxuries you really don't need -
- Do you really need to buy 3-4 bottles of water or cans of soft drink each week when there is perfectly good water in the taps for free? This alone will save you at least $10 per week
- Buy generic brands at the supermarket - These savings can be big and the quality usually is the same. Even if its only for a while. Buying generic brands of staples such as milk, sugar, bread, toilet paper, flour etc can save a lot each week.
- Buy meat and bakery items within the last hour of store closing - Woolies and Coles discount heavily any remaining perishable items at this time, and there is nothing wrong with them. Buy more than one and freeze them - Buying bulk discounted items & freezing such as meat and bread, is a great way to save.
- If you go the movies a lot - buy tickets in bulk to save overtime, and NEVER buy popcorn and drinks at the cinema as it costs a minimum $11 for a combo. Microwavable popcorn is about $2 to buy at the grocery store - Pop it before you leave and take it with you, as well as a drink.
- MAKE a list for shopping and stick to it! Don't shop hungry, and try to avoid taking the kids as it's almost a guarantee you'll spend more than you need to.
- Renting DVD's - Most video rental stores have a 'cheap' night of the week - Usually a Tuesday where all movies are only $1 including overnighters. The day may vary in your state so check with your local store. Rent weeklies you've never seen before and when you're bored on a Friday or Saturday night, watch the movies you rented and make your own popcorn - VERY Cheap entertainment! Try having a flashback night and rent movies from a period in your past like the fabulous 80's - Flashdance, Footloose, Pretty in Pink, Breakfast Club... etc
Is your homeloan or investment loan unsuitable for your needs?
A lot of people have the wrong loan for their situation and DON'T EVEN KNOW IT!
Whether it's because they took out an investment or home loan when rates were higher, or they just haven't got them structured right - Whatever your situation, Hudson offers a free service to members and non-members to see if we can improve your situation. Please contact Hudson's specialist Finance Dept for a no obligation assessment - You'll be surprised how much you can save by just reducing your interest rates.
Click here to go to our Mortgage Calculator and see how much you can save by adjusting the interest rate - then contact our Finance Dept and see if they can reduce your current interest rate in real life >>
The Credit Crunch -
Credit cards and store card debts are usually one of the main causes of financial stress. Too many cards and high interest rates can cripple you - Consider a debt consolidation or personal loan that rolls all your debts into one easy-to-manage rate that is less than what you are currently paying. There are many loans and finance options out there, but be warned - NOT all will be better than what you have now, so you need to be fully informed before signing on the dotted line - Hudson does assist member's with debt consolidation strategies, so if you're in need of some assistance, contact our finance department today or your adviser for customised advice>>
There are many more suggestions and ways to save such as those mentioned above, and ways to really cut back - If you are serious about paying down your debts and getting in control, then following these few simple rules will help. Hudson has many articles available to members, so log-in and start reading now >> Non-members can access some Hudson articles that are helpful - Click here to access the Finance related or Insurance related articles >>
Member's, please contact your adviser asap and get started on reducing your debt - Remember, this is all a part of your membership and we really are here to help you. |
