Protect against wallet gremlins by planning for unplanned spending!
TORONTO, Oct. 22, 2012 /CNW/ - With goblins, ghouls and ghosts in the air for Halloween, now's the time for Canadians to take a look at the little wallet gremlins that can grab a hold of their savings. A recent Scotiabank poll found that Canadians spend an average of $306/month on unplanned purchases and splurges (wallet gremlins) which can really add up over a year.
Wallet gremlins can come in the form of a splurge on an unplanned night out, buying clothes while window shopping, picking up a latte, or buying your lunch instead of bringing one from home. Small purchases can really add up week over week, and month over month - and ultimately put a remarkable dent on savings unless you've planned ahead.
"Planning for unplanned spending and wallet gremlins can be as easy as setting aside a gremlin fund so that you can make that impulse purchase without dipping into your savings and taking you off track from your goals," said Ahmad Dajani, Vice President of Investments, GICs & Sales Tools at Scotiabank. "It all comes back to a plan. Canadians have access to financial expertise through their local branches across the country, but not everyone takes advantage of the opportunity to talk about their goals and set a plan. Being prepared will help tame wallet gremlins."
Unlike trick-or-treaters, wallet gremlins won't leave once the clock strikes midnight on Halloween. With the holiday season coming up, this is the perfect time to plan ahead for holiday expenses.
- Create a proactive strategy with a savings plan - and a gremlin fund. What do you want your future to look like? Whether you want to travel the world, buy your first home or set up your child's college fund, the best way to reach your goals is to create a financial plan. You can keep yourself in line and the wallet gremlins at bay by developing a financial plan with short, medium and long-term goals - building in a bit of a cushion.
- Make your goals measurable. If you want to create a gremlin, rainy day or emergency fund on top of your other savings plan, put a plan in place to get there in a set amount of time. This way you will know if you are getting off track.
- Monitor the wallet gremlins. Keep an eye on your spending. By using online banking, mobile banking and/or InfoAlerts, you'll see an accurate picture of how much you are spending and where. If you recognize a pattern where you are spending too much at a particular store or restaurant, you can adjust and start building healthier spending habits.
- Commit to protecting your savings against wallet gremlins. Effective saving isn't something that happens overnight before a big purchase. Make your planned savings important and non-negotiable, like paying off your hydro bill or a car payment.
- Get to an expert wallet gremlin advisor. Financial advisors are trained in the best ways to protect and grow your savings. They can give you personalized advice on which savings techniques will work best for your lifestyle and spending habits.
Taking simple steps like these can help you not only protect your savings, but help them grow so that you can reach your financial goals. For advice on how to best save your money, visit a financial advisor at a branch near you or visit us online at Scotiabank.com.
About the polling data
The Scotiabank Gremlin Poll was conducted through Harris/Decima's telephone omnibus, teleVox from September 27th through 30th 2012. A total of 1,004 surveys were conducted nationally with Canadians respondents 18 plus years of age.
Scotiabank is one of North America's premier financial institutions and Canada's most international bank. With more than 81,000 employees, Scotiabank and its affiliates serve some 19 million customers in more than 55 countries around the world. Scotiabank offers a broad range of products and services including personal, commercial, corporate and investment banking. With assets of $670 billion (as at July 31, 2012), Scotiabank trades on the Toronto (BNS) and New York Exchanges (BNS). For more information please visit www.scotiabank.com.
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