Cutting back on your spending

In a recent survey of members, almost everyone we spoke to said that they wanted to save more.

But that can be hard on a low income. Where does the money come from? Cutting back on spending is hard. To help you, here are four tips to help you cut back on spending.

Pause big purchases

When you’ve got the urge to spend on something relativey big, walk away from the shop. Write down what you wanted and how much it costs. Stick this somewhere obvious; like the fridge or notice board. Wait 30 days. If the urge remains, then go and splash out but avoid using credit if you can.

Grocery shop with cash

In times of plastic it’s easy to forget the benefits of notes and coins. For this tip you’ll need your best maths skills, so you don’t overspend. On the otherhand if you’re watching every penny you’re budgeting on the go.

More often than not you’ll be worrying about overspending and end up under-spending. Pop the change in a jar. Build it up. Pay it into your credit union savings account.

Set a spending goal

Start small. Spend £10 less over the next four weeks compared to last month. At the beginning of the month put a tenner in an envelope in a safe place. Leave it alone. Don’t be tempted to spend.

At the end of the month put that £10 in your savings account. Next  time aim for £15.

Cancel unecessary direct debits

Subscription services often rely on people not getting around to cancelling payments for things they no longer use. Have a good look through your bank statements. See if there’s anything you’re spending on that you no longer need and cancel it.

More tips

If you want more tips of cutting back on your spending, the consumer site Which? has another 50 ideas.

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Credit Union Prize Saver – an opportunity to win £5,000 every month

Central Liverpool Credit Union has launched a Credit Union Prize Saver Account.

The Credit Union Prize Saver is the savings account with monthly prizes.

We’ve long been aware of the contrast where people on limited incomes buy lottery tickets but don’t manage to save for future needs. Despite the chances of winning the lottery being so remote, people keep playing.

Prize linked savings are an alternative to lotteries, with one key feature; a lottery loss means losing money. Not winning on a prize linked savings account doesn’t cost a penny. All money deposited remains untouched.

How it works

The way the PrizeSaver account works is simple: every £1 in a member’s account at the end of each month gives them one automatic entry into the following month’s prize draw, up to £200.

There are 21 prizes up for grabs every month: one headline prize of £5,000, and 20 smaller prizes of £20.

For example, if you have £50 in the account, you have 50 chances of winning. The value of the entries is calculated at the end of each month for the draw that takes place the following month.

So, if you had £25 in the account on 31 January and deposited £5 on the 1 February, you will have 25 entries in the February draw and 30 entries in the March draw.

Like all of our other savings account you can withdraw the money at any time. Deposits attract a dividend and are covered by savings protection insurance.

A pilot programme

The Prize Saver is funded by HM Treasury has agreed to provide a prize draw facility to 15 participating credit unions on a trial basis until April 2021.The prize draw is offered as part of a pilot scheme only. It could be withdrawn at short notice.

It’s an extremely attractive offer. Why put money in a normal savings account and earn next to no interest when you can put your money in an account where you have a chance to win money to buy a new TV?

Before you apply you must read the terms and conditions.

New members click below to open an account:

Existing members who want to open an account, please complete this short form:

Prize Linked Savings Accounts – coming soon!

In 2018 the Government announced it would be piloting a Prize-Linked Savings Scheme for credit unions.

Central Liverpool Credit Union is delighted to announce that it will be one of 15 credit unions piloting this initiative.

We’ve long been aware of the contrast where people on limited incomes buy lottery tickets but don’t manage to save for future needs. Despite the chances of winning the lottery being so remote, people keep playing.

Prize linked savings are an alternative to lotteries, with one key feature; a lottery loss means losing money. Not winning on a prize linked savings account doesn’t cost a penny. All money deposited remains untouched.

It’s an extremely attractive offer. Why put money in a normal savings account and earn next to no interest when you can put your money in an account where you have a chance to win money to buy a new TV?

Any member who joins the the Credit Union for a prize linked savings account will receive the same benefits as other members in relation to dividends, low interest loans and free life and loan insurance.

Register your interest: Prized Linked Savings

If you meet our common bond requirements you can join the waiting list by completing the form below. We’ll let you know as soon as the scheme is up and running.

We work with several employers offering payroll deduction. If you would like to bring Prize Linked Savings to your work force, use the form below to let us know.

I never had savings before joining the Credit Union.  Just a small amount saved regularly soon builds up and it feels good to know I have money set aside for the future or in case of emergency.  I also feel proud that my savings are helping to fund loans in my neighbourhood and helping others to start saving too.

 Paige