Stalled by rising gas prices? A look at ways to adjust budget to stay on the road
With gas prices on the rise, people are looking for creative ways to cut down on expenses and save money. To find out where you may be able to save, start by taking a look at your monthly budget.
While strategies such as taking advantage of discounts and coupons, canceling unnecessary monthly subscriptions and making an effort to curb overall spending can be helpful, we’re sharing some ideas for bigger potential savings you may want to consider. Small savings on everyday items can certainly add up, but it’s also worth revisiting your larger monthly expenses to find out if you could reduce interest rates or lower monthly payments on costs such as loans and insurance.
Auto loan refinance
See if refinancing your auto loan could put more money back in your wallet. If you’re able to refinance at a lower interest rate, you may be able to reduce your monthly auto loan payment. Plus, you could end up saving money on total interest over the life of the loan. Use our handy auto refinance calculator (communityamerica.com/calculators/auto-refinance) to find out if refinancing your auto loan could be right for you.
Mortgage refinance
Another large monthly expense you could possibly save on by refinancing is your home loan. A mortgage refinance works similarly to an auto loan refinance, where getting a better rate could lower your loan payments.
A mortgage refinance also gives you the chance to cash out on your home’s equity, so you can have a little more cash on hand for large purchases, debt consolidation or emergencies, but at a better rate than most credit cards. Try our mortgage refinance calculator to see if you could save by refinancing your home loan.
Comparison shopping your various insurance policies is a good way to check if you can save money by switching.
Consolidate debt
If you have multiple forms of debt, consider consolidating them to bring your costs down. Consolidating your debt means one simple monthly payment, and depending on the type of debt, using a home equity loan, cash out mortgage refinance, personal loan or credit card balance transfer could get you a lower rate. As with refinancing, a lower interest rate on consolidated debt helps save money.
Take advantage of cash back
When you do spend money, use cards that enable you to earn cash back on your purchases. Shop around to find cash back accounts that make the most sense for your situation.
We hope these ideas give you some bigger picture options for saving money on your monthly expenses to help you adjust your budget in light of rising fuel prices.
This column is sponsored by CommunityAmerica, which is committed to providing Kansas City area citizens with financial peace of mind. If you’d like to get in touch with us about managing your finances, contact us at www.communityamerica.com/contact or visit one of our convenient branch locations.
This story was originally published May 18, 2022 at 5:00 AM with the headline "Stalled by rising gas prices? A look at ways to adjust budget to stay on the road."