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Surprise bills come out of nowhere all the time, no matter how prepared you are. They might take the form of a broken down car, a burst pipe, or lost luggage on holiday. Whatever they are, and whenever they happen it is hard to get them sorted and under control, but it is possible.
Preemptive
The preemptive approach is how to prepare for the eventuality of a surprise payment.
Savings
It seems simple, and that’s because it is. Saving your money and creating a financial cushion is the best way to prepare for any pop-up payments. Adding a savings amount to your monthly budget will ensure that, over time, your savings account grows steadily. Choose a high-interest savings account, or use a cash ISA so that you can only access the money at timed intervals, visit moneysavingsexpert.com for more about ISAs. This will help you not to spend the money on other things. If you have a shared savings account with your partner, then try and match what each other put into the account each month.
Keep On Top
Staying on top of any services for your car, or boiler, or anything else, will help to keep the big costs at bay. Regular checks might seem unnecessary or annoying, but they will end up saving you money in the long run.
Don’t Cheap Out
The same can be said for when you are buying a new appliance or a part for your car – you will save more money in the long run if you spend a little more in the beginning. Going for the budget option isn’t always the best idea – new, rather than second-hand tires will last you longer and will be more reliable. The same goes for any laborers installing said items – don’t just choose anyone, make sure you are getting the best for your money by making sure they have a good reputation.
Insure It
This doesn’t need much explaining – taking out insurance on your larger or more expensive belongings will always be a good idea.
Dealing
Sometimes you aren’t prepared, and you find yourself with a bill that you suddenly have to find the money for.
Loans
A small loan might be the way forward, visit cashloans.co for more detailed information on types of loans. Borrowing only the amount you need, and making sure you can pay back the installments, will solve the problem straight away.
Installments
Ask if you can pay in installments. A lot of companies, including garages, will offer a finance plan for you to pay back any work or parts. But only make a deal that you can afford and will stick to.
Credit Card
If you need to pay it off in one lump sum, and don’t want to take out a loan, then use your credit card. This way you will be able to pay it off with varying payments. Paying by credit card can also help your credit score.