A new study by Remitly, a leading provider of digital financial services for immigrants and their families, has revealed which countries are most interested in improving their economy and their savings. As a result, the British have shown to be the most financially conscientious in the world.
The continuous increase in living costs worldwide has been the main reason for many to seek financial advice and how to make money work for everything you need in this new year.
To learn which countries have the most concern or worry about managing their money, Remitly compared Google search volumes across 151 countries, using terms like: "money saving tips," "how to save for a home," and "how to budget". This information was compared with each population to reveal the number of searches per person in each country.
The 15 countries most concerned about their finances
UK citizens seem to be aware of the current economic instability as they are the top performers of money related searches. Currently, his main interest is how to save wisely. Brits conduct an average of 250,000 financial searches each month, using terms such as 'how to budget', 'savings tips' and 'best mortgages'.
In second place is Australia. This country, which historically has a stable economy and which has been able to escape recessions such as the global financial crisis, has begun to take measures to deal with the current economic instability that is being experienced globally. Based on Google searches, it could be said that Australian residents are prudent with their finances, as they turn to the platform for financial advice.
The Czech Republic, Germany, and Iceland rank third, fourth, and fifth respectively, all ahead of the United States, which ranks tenth.
Since 2021, the global Google search for “how to start saving” has increased 49% and that for “best savings account” has skyrocketed 122%. Additionally, during the summer of 2022, the volume of people seeking advice on “how to budget” increased by 22%. This shows that since then many began to feel the economic pressure.
Interestingly, one of the biggest search spikes in the world occurred with the topic “how to get a mortgage”; that query experienced a whopping 647% increase compared to the previous year. With rental markets looking worrying in different countries, it seems that many are looking for the security of a mortgage and possibly a way to lower the high interest rates.
With financial worries showing no sign of abating, Remitly has turned to Rachel Springall, Finance Expert at MoneyFacts, to provide her top tips to help people start this year with more control over their finances:
1. Use mobile apps for budgeting
“Mobile apps are a good option for managing finances on the go, especially those designed for budgeting and setting specific savings goals. Money Dashboard is a free to download application that allows consumers to see their income, expenses and connected accounts in one place. In addition, it shows the spending behavior of users and informs them if they should start a saving habit.
2. Switch bank accounts and earn money
“Switching checking accounts can reward customers with an incentive. There are some banking providers that offer some notable benefits to attract new customers. It is very easy to switch current accounts using CASS (Current Account Switch Service) and everything can be resolved within seven days without having to worry about losing any direct debits. Although free money can be tempting, it's crucial for consumers to look at all the features and fees to get a good idea of what suits their spending habits. If consumer spending increases, it's important that they have a bank account that can support them and reward their loyalty."
3. Analyze retirement plans
«During the current crisis and in necessary situations, it is valid to consider reducing the amount of money you save for retirement temporarily and thus focus on current commitments. Making sure bills are paid and any debt paid off is essential, so temporarily lowering pension payments could help. However, it is important not to forget to save for old age in order to avoid falling short of the pension in the future. Saving little and often is critical to building a retirement fund, so it's wise to set achievable goals. Seeking advice to analyze income and expenses and be realistic about what you can save each month is vital, especially in an environment of high inflation.
4. Study the type of mortgage and analyze the monthly payments
«Interest rates are rising and for many the mortgage will be the biggest financial commitment they have to cover each month. Analyzing the mortgage contract can be a big saving, so it is always worth seeking advice to review the sums, even if someone is currently committed to a fixed or variable agreement. Borrowers who exit a five-year fixed mortgage in the coming months and fall into a standard variable rate (SVR) could see their payments skyrocket, so it's never too early to investigate other options. As interest rates continue to rise, some borrowers may consider a fixed mortgage for longer, but it is vital that they seek independent financial advice to understand their options."
5. Create a savings fund using government aid
«Taking advantage of any savings initiative is a good idea for those who do not have much to fall back on. An example is to find out about the savings aid that the Government is offering ».
6. Compare savings services from lesser-known companies
“Those who want flexibility with their savings will find a wide variety of accounts easily accessible, but it's important to check out all the options, even the lesser-known ones. It is also essential to analyze the conditions, since some limit withdrawals. Changing your savings account is essential now that interest rates continue to rise. Savers at a traditional bank may not benefit from increases in base rates (some accounts pay less than 1%). It's clear why loyalty doesn't always pay off."
7. Sign up for free cashback reward programs
“One way to save or earn money is to buy products or services on specialized cashback sites. There are so many to choose from and it's easy to sign up for rebates on all sorts of items including purchases, vacations, utilities, savings, insurance and much more.”
8. Download the Stocard application
«Always carrying customer cards from our favorite stores is somewhat cumbersome, but it is also true that they help us save a little and obtain interesting promotions. A simple and free option to have these cards always at hand is the Stocard application. It scans all the barcodes on the point cards and registers them so that all of them can be quickly accessed using just your mobile phone.”
9. Transfer credit card debt to interest
-free Credit cards are a convenient method of payment and can be a useful safety net if you have little income. Those who use them to make purchases would do well to transfer debts to an interest-free balance transfer card to avoid incurring additional expenses. Borrowers who can comfortably pay off their debts early may prefer to apply for a no-fee offer, so it's important to weigh the offers available against the initial costs of moving debts.”