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Growing Up: Putting Some Proper Thought into Banking

Over the past few months, I have been making some changes to my spending habits whilst resolving to put myself in better financial stead. I want to begin saving for a deposit so I can secure a mortgage as I’m already realising how much money I am throwing away by renting. I graduated from university a few years ago and did the typical student loan and overdraft thing, and because my first job was relatively low-paid, it was hard to find any extra cash to pay cards and bank accounts back.

Growing Up: Putting Some Proper Thought into Banking

 Growing Up: Putting Some Proper Thought into Banking

Over the past few months, I have been making some changes to my spending habits whilst resolving to put myself in better financial stead. I want to begin saving for a deposit so I can secure a mortgage as I’m already realising how much money I am throwing away by renting. I graduated from university a few years ago and did the typical student loan and overdraft thing, and because my first job was relatively low-paid, it was hard to find any extra cash to pay cards and bank accounts back.

Now, I get paid enough that I have some money spare at the end of the month. Whilst it is tempting to simply spend this on clothes, beauty items and nights out, I’m trying to be sensible. You might even say that I’m growing up! In line with this I’ve been reading up on different bank accounts and financial products that are available, so if you’re trying to be sensible with your money too, you might find my research helpful.

Look for current accounts with good rates

I’d never really considered changing my bank account until this year. I opened a student account with NatWest, which later became a graduate account, and then a basic current account. I opened the account at the time due to the overdraft facility and offer of a free railcard each year of my degree, which I did use. I realised this year that I no longer had these benefits, so set out to find one that would give me something back by depositing over £1000 each month. I’ve now settled for one that will give me 5% interest within the first year of my account, which is far better than what I got on my previous current account.

Analyse the range of savings accounts

As I am looking to save for a deposit, I also wanted to find a savings account that would allow me to do this. I wanted this to be separate so I wasn’t tempted to spend the money sitting in my current account, and I also wanted one that would only offer limited access so I couldn’t do a quick withdrawal. You can find some of the best savings accounts here if you also have something particular you’re looking to save for; consider both banks and building societies to get the best deals.

Could you benefit from an ISA?

Finally, you might also want to look at opening an ISA. I haven’t done this yet but this is the next thing I will consider. A cash ISA allows you to save up to a certain amount each year with tax-free interest. Make sure you check what the allowance is though, and make sure you read the terms and conditions for that specific product. When it comes around to the next financial year, you can choose to move your ISA to another bank or building society that may offer you a better rate, so keep your eyes peeled.

4 comments

  1. Wavatar

    I am while moving to some apartment and also the landlady uses a ‘bank reference’. I’ve no clue what this really is . so could anybody please advise in regards to what a financial institution reference is and just what they are able to, and can’t, disclose ?

    furthermore the financial institution to provide a reference exactly what do they appear at ?

    many thank you

  2. Wavatar

    listed commercial banks within the Philippines according to general banking law 2000

  3. Wavatar

    i’ve 5 kids now and something in route and i’m residing in a 27 feet camper my hubby brings home about 200 to 400 per week on his check does anybody are conscious of a course or organization that’s willing that helped me to?

  4. Wavatar
    Humberto Krikorian

    I am 5 ft within the sixth grade. It’s my job to play point guard and I wish to play in senior high school. I’ve got a good handle but possess a difficult time dribbling a basketball pressurized. I’m able to make open shots plus some contested shots. I’m able to pass well. I have to focus on my stamina. Any tips, advice and/or drills are appreciated.

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