Spring has sprung. The days are getting longer, temperatures are rising, flowers are blooming and the air is heavy with the aroma of pollen and mud. Spring is also a great opportunity to give your home a deep clean. You can wash your window screens, sweep underneath your kitchen appliances and sort your clothes and otherpossessions to decide what you can donate to free up space.
But your home’s not the only thing that could benefit from some sprucing up. What about your finances?
What Is Financial Spring Cleaning?
Just as our homes get cluttered with everything we accumulate, so too can our finances. But when our finances get cluttered, we can actually lose money from our accounts, e.g.: subscriptions. We also may have got into habits that aren’t the most efficient or beneficial for financial goals.
Spring can be a great time to sit down and examine your savings strategies and budget. But it’s also an excellent opportunity to examine the smaller aspects of your finances that might be holding you back. Let’s look at how you can clean up your finances.
Cancel Legacy Expenses
There’s a reason so many businesses run on a subscription model. It’s because they know we’ll forget about them. Or sometimes we just don’t want to go through the hassle of canceling. But even if your finances are healthy, there’s still no good reason to keep paying for something you don’t use or enjoy any longer.
Common vestigial subscriptions that may be slowly draining your bank account include:
- Streaming platforms you rarely or never watch anymore.
- Home-delivery meal kit services that you’ve lost your appetite for.
- Gym memberships that you seldom take advantage of.
- Recurring charitable donations to causes no longer close to your heart.
- Premium-tier memberships to services that don’t add much value beyond the basic offering.
Consolidate Accounts
You may have some accounts that you don’t really need anymore. Closing one or more could save you money on fees and streamline your finances. Also, if you have two checking accounts, you could close one and put the balance into a savings account, potentially earning higher interest.
If you have multiple credit cards and don’t use one, you can cancel that, too. (Note, in some instances, canceling a credit card could hurt your credit score.) And last, there can be very real benefits to consolidating your debts.
Automate Payments
If you’ve been making manual recurring payments, spring is a great time to automate those and save yourself time moving forward. For most monthly bills, you can arrange to have the money automatically withdrawn from your account, ensuring you don’t forget to pay and incur late fees. You may also be able to set up direct deposit with your employer, meaning your paycheck automatically shows up in your account.
Contact Vectra for More Tips
Want more feedback on your finances? Have any questions? Contact a Vectra Bank professional today, and we’d be happy to help.
