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Austin South Asian | May 2022
5 Savings Mistakes Students Must Avoid In College Do you often feel broke at the end of the month? Are you saving right or at all? Well, here are 5 savings mistakes to avoid in college so that you can manage your finances better.
consider using a debit card linked to your student savings account.
Not Starting to Save Early It’s always good to start saving early. That can help you finance your needs with your own money. So, you’ll become financially empowered at a very young age and soon need not depend on your parents’ money. To meet this end, consider asking your parents to open a minor savings account for you before you turn 18 years of age. You can use it as your own student savings account once your parents open it in your name. You can use the savings to finance your academic as well as other purchases. High Uncontrolled Spending Overspending is common among college students. These often include buying premium watches or shows and designer clothes when a less costly brand may offer equally good products. Often the cause of such boundless spending is following the herd.
Instead, try to handle money more prudently. Also, build the habit of depositing at least a little amount every month in your student savings account. Lack of Monthly Budgeting or Tracking Spends Set a monthly budget for your needs. If you can save some money after financing your needs, go for fulfilling your wants. How to stick to that budget when you are spending? Carry limited cash in your wallet. Instead,
Less cash may help check your temptations to go beyond your budget. Besides, using a debit card for transactions can help you track them in the passbook of your account. Make sure to keep the passbook updated to know exactly how much your current spends are, and control them if needed. Overlooking Cost-Effective Savings Options Do you think that all good things in life cost more? Well, you’ll be happy to prove yourself wrong. You can open a future savings account with no minimum balance requirement yet you can maximise your earnings up
to a high annual interest rate. Plus you can get free general banking services and a debit card. So, opt for such a cost-effective savings option from a reputed bank right away. Not Saving while Insuring Health Did you know you can insure your health while also saving (and growing) money? Such a facility is offered by a health savings account. But what is a health savings account? By opening this account in certain banks, you can claim settlement on both reimbursement and cashless basis. You can get coverage for pre-hospitalisation and post-hospitalisation charges for 30 days and 60 days respectively plus daycare treatment. Moreover, you can get a high interest rate to grow your savings. The account facilitates no pre-policy medical examination. Besides, with a small annual premium, you can even get considerable super top-up health insurance. Ensure to not make the above mistakes and save the right way to handle your finances responsibly.(Courtesy: https://indiawest. com/)
The First Vehicle For A Student — What Should You Pay Attention To? A student’s car is the first own vehicle for many. The independent, adult life, often connected with moving to a new, larger city, is a perfect time to buy one. However, not every car will make the life easier in the long run. We provide advice on what car to choose to ensure that the students’ idyll does not change into an expensive prob
cident. Below, please see some tips on how to choose a student’s car.
A student’s car should have several basic properties to ensure that using it will make life in the city easier and not more difficult. It needs not be impressive, expensive or extra fast. It must fulfill its major function, i.e. go from the students’ dormitory to the university and enable to return home for the weekend safely.
Car maintenance — the parts for the student’s car should be inexpensive and easily available. This will help to avoid high costs in the case of failure which may happens in older cars. This criterion is important for one more reason — inexperienced drivers are more prone to have collisions. Some scratching or broken bumper are parts which are easier to repair at some lower cost.
What is more, it cannot be expensive in terms of its purchase price and maintenance costs. Although this may sound strange, it should not be perfect so that we are not sorry if there is any collision or ac-
The car price — as most of us know students who enter the adult life often have a limited budget. This means the car they choose must not cost too much. Today, you can find many older, second-hand cars for an affordable price.
The car size — the vehicle should be compact. Most universities are situated in larger cities with heavy traffic and limited space. A small,
compact car will make it easier to drive in the streets and to find some place to park. Economical — a student’s car should have low fuel consumption. The optimum consumption in the city is ca. 5–6 liters. Small cars do not consume much fuel which makes driving them more economical. How to safeguard from unforeseen expenses? The first car, particularly the one to be driven by young people, may be exposed to many hazards. Collisions and accidents happen even to experienced drivers, but those who start their driving adventure stand a higher chance of causing or participating in some incident. This is why, in particular when the driver is a student with a limited budget, before going on a road everyone should buy an appropriate car policy which will minimize the
risk of unforeseen expenses and painful consequences. The most important components of the policy include: Assistance — it will ensure the first, basic assistance and support at the time of any fortuitous event. This is not only related to providing the most important information, including emergency phone numbers or assistance facilities, over the phone, but also child care when her or his guardians suffer in the accident. Third party liability insurance — it will ensure protection if any loss is caused to any third party or their property as a result what we do. The guaranteed sum of the third party liability insurance should be at least EUR 100,000. Accident insurance — it guarantees covering the costs and any benefit disbursement if our health suffers as a result of the fortuitous
event. This is important also during foreign trips as it provides coverage for the accident-related treatment or rehabilitation. What is more, the accident insurance guarantees compensation if the insured person dies. Comprehensive cover — this policy will ensure disbursement of the relevant compensation if the car is damaged due to the injured party’s fault. It covers also theft of the vehicle, the act of the forces of nature and the so-called vandalism acts (or more general third party acts). If you want to choose the appropriate insurance for you, use the car insurance calculator. Thanks to that, you will compare different policies and choose the appropriate one for you and best matching your needs, and then you will easily buy it online in several simple steps, without leaving your home. (Courtesy: https://indiawest.com/)
