Top Banking Tips for Millennials
All young millennials nowadays seem to stumble upon the same old problem – money, financial culture, savings and all that jazz. Indeed, getting your first paycheck after graduation is exciting. However, if you don’t have enough financial culture and know nothing about how to save and how to spend your money wisely, this happiness won’t last for long. Managing money is a challenging and often complex thing that they don’t teach you at school. However, it is something very crucial to know and will help you to the rest of your life. Therefore, today we share with you some of the basic and fundamental tips of banking and money management for young millennials.
Use Budget-Related Apps
You already spend so much of your time on your phone, you do almost everything through this little handy device, so why don’t you do banking and money management through your phone too. There are many absolute phone apps available right now that will help you track all your daily, weekly, or monthly spendings. By using such app, you will be able to monitor where your money goes and what are the unnecessary expenses you can cut in order to save money or shift them to a bigger and more meaning purchase for you.
Automatic Transfers to Savings
Yet another great way technology can help you for more efficient money management is by setting automatic transfers to your savings account. You just need to consider what could be the monthly amount of money without feeling uncomfortable and compromising with other important things in your day-to-day life. Once you figure it out, make sure to create a recurring transfer of this amount of money from your checking account to your savings account.
Don’t Overdraw Your Checking Account
Some months or all the time – there are so many temptations awaiting you to just spend your money on them, however, this will often lead to overdrawing your checking account. If your overdraw, you may be charged a fee or completely lose control on your money and money management skills. Therefore, always know what amount of money you can find in your checking account and how much you can spend without overdrawing.
Repay Debts Strategically
You have a student loan to repay or a debt from a credit card? Well, it is a good thing to know you can start repaying them strategically and without going into bankruptcy. Just make sure to start paying the minimum since this will contribute a lot to your higher-interest debts. Don’t treat all your debts the same, make these a priority and you can reduce how much interest you are paying.
Long-term Savings Goals
In order to be more motivated to save money, you need to have a good idea of why you want to save money, think in a long-term aspect, think of your future. This will help you focus on the reasons to save up since it is easy to live for the moment and get tempted to spend, spend, spend, while you are still young.