HomeFinanceFrugality is a Good Way to Thrive – Why Not?

Frugality is a Good Way to Thrive – Why Not?

When it comes to gaining financial independence, you all are recommended to start living frugally. Frugal living is a lifestyle that leads to cutting back on your spending to stay afloat. Even though financial experts suggest that everyone should live economic life regardless of what you earn because you never know when life throws you a curveball, but studies suggest that people start taking this advice seriously when they find themselves broke.

People generally spend money like there is no tomorrow and as a result, end up rushing to lenders to have their needs funded. Though you can take out guaranteed payday loans for bad credit if you are running out of money and unforeseen expenditure is upon you, it does not mean that you will spend money like water, but do not forget that this art of living does not justify every circumstance.

Living frugally can help you save a sufficient amount of money, but sometimes you spend too little on money that you pass up the ways to get a reward for the money you have already spent. Here are some of the ways when frugality will cost you more.

You are buying low-quality products

It is good to buy a cheaper one when you have two alternatives of the same quality, but you will likely buy cheaper products without considering quality all the time when you are living a frugal life. Durability matters the most. If you are buying products that do not seem to last long, you will end up frequently replacing them.

If you overly emphasise prices instead of quality, it will cost you a ton of money in the long run. For instance, if you are buying a pair of trousers worth £10 that last two months, you are spending £60 annually. Instead, you should buy a pair of trousers worth £30 or £40 that last longer.

Durable products last longer, so if you think you are spending a lot of money, the quality will justify it in the long run. The concept of frugal living does not say that you need to invest in cheap items. It instead means that you should keep yourself from overspending.

Overlooking credit card rewards

If you are living a frugal lifestyle, you may fight shy of using your credit cards to prevent overspending. You will likely start using cash for all your expenses. It is a good habit to use cash to stay on top of your spending, but you can miss out on rewards that you can get by using your credit card.

Missing out these rewards can cost you more money. Numerous rewards like free travel, cashback and discounts are out there that you can use provided you pay in full on the due date.

Avoiding medical consultation

If you are cutting corners on health just because it is saving you a little money, you are making a big mistake. If you skip routine checkups or put off medical treatments, it will take a toll on your health.

Try to review the benefits mentioned under your medical coverage policy. Most of your medical expenses will be covered by coverage. However, if you do not have medical coverage, you should still try to avoid procrastination of your routine checkups and treatments. It will cost you littler than a medical emergency down the line.

Excessively relying on DIY techniques

Undoubtedly, DIY techniques can save you a lot of money. For instance, you would like to paint your home yourself during Christmas, or you would like to repair some fixtures on your own. DIY techniques are generally recommended when you can handle the task like a pro. Unwillingness to outsource can cause wreak havoc on your finances if you are not as expert as professionals to do it yourself are. It is not worth being frugal if you end up with a mess.

Nobody can be well off without frugality. If you want to make ends meet, you need to adopt a frugal lifestyle. However, if you read thoroughly the points mentioned above, you will get to know that this kind of lifestyle will cost you more money. So, what is frugality exactly?

Frugality is an art of living a lifestyle that prevents you from overspending. Frugality does not promote buying cheap. It instead means making smart use of money. You are frugal when you do not waste money, not when you do not spend money.

When you learn the art of making smart use of your money, you will turn out to be frugal. If you do not want to be tight with your money, you should stop being unwise to it. However, being frugality does not mean that you will never face financial difficulties and need to borrow money. However, if you use a frugal approach, you will be able to pick a lender like One Click Loans that lends money at lower interest rates.

Ella Watson is the financial advisor in UK who provide loans to the UK Citizen only.

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