After spending approximately 18 years in the education system, life after graduation can be quite daunting. Whilst it feels good to be free of exam stress, you’re suddenly faced with a lot of important decisions to make and routes to consider. The first step is to just relax, and not let these big decisions scare you! Everyone goes through this adjustment period and it’s only natural to feel stressed and anxious about what the future might hold.
One stress that’s you should try and get a handle on is money. Here’s are some tips to help you battle this burden.
Apply for a Graduate Bank Account
Say goodbye to the days of your student loan and head down to your bank to discuss a graduate bank account. In some cases, your student account will automatically transfer to a graduate but in the case that it doesn’t you could be hit with a few hefty charges when your 0% overdraft is taken away from you. If you’ve maxed out your overdraft by up to £2-3K those charges will soon mount up.
Start Saving Early
Whether you’ve landed your dream graduate job or you’re working shifts in a local café whilst hunting for the right position, it’s wise to save any spare pennies in order to pay off your overdraft and plan for the future. If you don’t already have one it could be worth opening a savings account. Search out the best interest deals and put any money you can away for a rainy day. Now that you don’t have the security of a student loan coming in, you never know when you might need it. It’s also worth looking into free savings apps to help you monitor your finances and set yourself goals.
Creating a budget for your spending can really help you to understand what you’re spending and where you’ve got space to treat yourself. Create a list of what you earn, what your essential expenses are – bills, food, travel costs – and then you will know how much you’ve got spare to work with. As with the previous point, some money should go towards your savings, but also ensure you’ve left yourself enough to let your hair down every so often.
Open a Help to Buy ISA
It’s time to say goodbye to student living. If you’re aiming to get onto the property ladder and own your own home, it’s worth looking into the various government help to buy ISAs and schemes that are available to first-time buyers. These can bump up your savings and give you a helping hand to eventually own your own home. Once you’ve saved up your deposit, compare mortgages with Know Your Money to feel safe in the knowledge you’ve got the best, most-suitable deal for you. Applying for a mortgage can be a scary, confusing process so make the most of the free tools available to you!
This article was brought to you by freelance writer Louise Wood, who’s an experienced journalist with a thirst for knowledge and a passion for writing.