A Look at Personal Finance

When thinking about personal finance what is the first thing that springs to mind?

Well, in my opinion personal finance is this and so much more. It’s the way in which you manage your money and look after what payments need to be made.


If you are lucky enough to be able to save each month it soon grows, especially if you have an account that has a higher rate of interest.

Savings accounts are useful when you know that you won’t need instant access to your money as some require a notice period if you are to withdraw money. There are ISA’s too which are tax free savings accounts that you can save up to a set amount each year. These have a better interest rate than normal savings accounts however again require a notice period. Some building societies or banks will not allow you to take the money out without closing the ISA.

Current Accounts

Bank AccountWhen it comes to personal finance bank accounts are most definitely a big part of the whole picture. If you have the right bank account it will look after you and your money. Some accounts charge a monthly fee for the services that they provide to you. These services may include travel insurance, fraud protection, increased interest rates and many more besides.

Finding the right bank account for you is important to the management of your personal finances. Bank and building societies sometimes offer accounts based on how much you pay into them on a monthly basis, mainly over $1000 a month and you are eligible for the added benefits like purchasing a large coffee maker with fixed-rate of interest.But, if you do not want to pay a monthly fee, some charge between $10 and $25 a month, or you don’t pay in enough then there are still accounts out there you can use.

These accounts fail in one way though; they have a lower and usually not very good interest rate. They have all the normal features: cheque book; ATM card; instant access. So if it is just an account for you wage to be put into before you move the money around or pay the bills then this type of bank account could be the one for you.


When it comes to debts there are lots of different debts out there

With each type of debt there are consequences if you don’t make the monthly repayments. Credit card and loan companies apply late fees or missed payment fees which can accumulate behind your normal payments. You are usually told about these charges when they are applied.

Credit Cards

Credit cardsCredit card bills have interest placed on them whenever your statement is produced. This is usually high interest rates to try and get people to pay the balance back quicker. Sometimes it is the interest that people are paying off as the amount each month is greater than the payment they can make.

Credit cards are a good way to build up your credit score though. Some people are advised to get a credit card, buy small things ($10 to $15) and then pay them straight off when they get the bill. This will build up your credit score but it won’t happen overnight.

Store cards are a debt that people forget about. While out shopping you get offered them in most shops now-a-days and as such you can amass a large number of store cards that will need paying off. Try to remember what you have spent on them as when the bill comes it may be a shock.

When it comes to your personal finances you are the only one that is aware of what is happening.

Don’t bury your head in the sand and hope that they will go away as they won’t!

You have to do something about them. If you are in debt maybe try get a second job to help ease the burden, seeking professional debt advice can also help you. Keeping your personal finances in order will help you lead a happier life as you will not be worrying about where you are going to find the money for your bills.