Piggy banks

How to become the most frugal student of all time

Are you going to start taking this ‘student lifestyle’ thing seriously? Then it’s about time you become the penny-pinching miser you’re supposed to be. It’s all about holding on to as much of your money as you can and maybe even ending up with a bit more. To do that, you have to learn about your credit, your money-making potential and the opportunities that come your way.

Budgeting is king

Dread looking at your bank balance? You’re not going to like this step. It’s all about budgeting your money. That is the art of divining where exactly your money should be going on a weekly, monthly or even quarterly basis. Then finding a way to spend even less than your projected amounts. For instance, it’s easy to cut down your home expenses by doing things like haggling with your service providers to cut bills.

Look after your credit

A good frugal student doesn’t handle loans and debt in a way that tanks their credit. You’re going to need that after you graduate when you want to be in a position to buy a car, a house or even start a business. Which means you need to be wary of some of the less sensible credit tips. For example, don’t pay off your installments early. That is just as much a breaking of your initial agreement with the creditor as paying it late. Be reliable. Be on time.

Be smart with your loan choices

A clever financial head uses loans to help them get better use out of their finances. Everyone’s situation is different, so do some research on the best loans for your situation. Make sure you fully understand the requirements before entering any agreement. Again, your credit score is going to help you get the best out of those choices, so take care of it.

Make the most of your situation

It’s not all about how you acquire extra funding, it’s also about how you save yourself from some of the costs that come rolling your way. Make sure you keep your finances up-to-date so that you can claim back any extra tax you have paid because you are not working full-time. And if your car gets a dent or you need to make personal injury claims because of an accident then make sure to ask for compensation.

Find a side hustle

In terms of finding that extra funding, why not find some that you don’t necessarily have to pay back? As a student, there are still plenty of side hustles you can take on even when you don’t have the time or ability to get a full-time job. For instance, starting a monetizing a blog or buying and selling to a profit online. If you have a car, you can even use apps like Uber or act as a courier to earn some extra cash.

A real frugal student doesn’t just take a casual attempt at saving money. They look for the ways they can stop themselves paying and keep on top of their funding at all times. Hopefully, the points above help you do that.

Photograph by R Nial Bradshaw

1 comment

  1. Pingback: Five things that can threaten your careful student budgeting | Student Banker

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