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Saving can be tricky. But Clare Framrose, head of savings at “Atom” bank, has a theory that it’s because you’re not catering your savings approach to your personality. She says there are six personality types, each one with its own saving technique that works the best for them.
- The worrier. Do you wake up in a panic at 3 AM worrying about money or have dread when checking your bank accounts? Use external support, such as a financial advisor or store savings in an instant saver account.
- The avoider. This person pretends everything is fine financially, even when it’s not. To help, adopt fun spending habits like a no-spend challenge.
- The compulsive spender. Love spending sprees? They’re great when you can afford them. Putting a percentage of your income into a fixed savings account so it’s not readily available can stop any unnecessary deductions.
- The compulsive saver. The opposite of the above – the one who saves every penny. Set aside a “fun” budget each month.
- The risk taker. Or the one who makes quick decisions without fully thinking of the consequences. A fixed saver account can help, as it will set a clear stopping point for spending.
- The saver-splurger. This seems like an oxymoron, but it’s the person who starts off the month super well in saving… but then ends up over-drafting by splurging. Rather than budgeting by month, budgeting by week may be better.
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